Japan Steel Export to ASEAN to Reach New Record in F2010

Japanese steel export to ASEAN is expected to exceed 11 million tonnes in fiscal 2010 ending in March 2011 and hit the new fiscal yearly record. The export increased by about 28% year-on-year to 10.5 million tonnes for eleven months from April 2010 to February 2011, according to Ministry of Finance. The export may decrease in March due to impact of Tohoku-Kanto Earthquake and strong yen exchange rate while the export could maintain upward trend mainly for high grade steels when the keeps strong in ASEAN.

The current fiscal yearly record to ASEAN was 9.69 million tonnes in fiscal 2007. The export dropped to 440,000 tonnes per month in March 2009 after Lehman Shock. The volume rebounded to above 800,000 tonnes per month after July 2009 and hit record 1.05 million tonnes in May 2010.

The export increased by 5% to 967,000 tonnes in February 2011 from a year earlier. The export decreased to South Korea, Taiwan, Hong Kong and Singapore for 2 consecutive months while kept flat to China. Meanwhile, the export to ASEAN increased for 4 consecutive months.

In Thailand, manufacturing industry maintains strong operations when car production hit record high mainly by Japanese automakers in 2010. In Vietnam, steel demand for infrastructure is expanding. In Malaysia, Japanese appliance makers are re-increasing local investment. Japanese total steel export is expected to reach 40 million through fiscal 2010 and to mark record high. The export to ASEAN accounts for 25% in total steel export.