Japan Brass Bar Production Expected to Keep 1,6000T/M for Oct-Dec

Japanese brass bar makers’ output is expected to keep the level at average 16,000 tonnes per month for October-December, almost as flat as July-September. Brass bar demand is weakening from domestic automobile industry after Japanese government’s program ceased to stimulate eco friendly car purchase. Meanwhile, the demand is likely to maintain steady from house renovating applications such as water taps and valves.

Japanese brass bar production kept stable since early-mid 2009 thanks to the favorable demand for house renovations and automobiles.

New orders related to automotive components is recently decreasing due to the end of Japanese government’s stimulus program for eco friendly cars. One brass bar maker said the firm’s new order receipts decreased by around 10% in September in volume compared with the recent peak in July.

On the other hand, another brass bar maker points out domestic total production decreases by only one digit percent for October-December from the previous quarter if the demand maintains stable for water taps and valves.

Japan Copper & Brass Association announced on September 22 that domestic brass bar production for October-March is forecasted at average 16,170 tonnes per month, almost as much as April-September. Brass bar makers actually outlook the 3-month production would keep almost flat or slightly less for October-December compared with July-September.

Ohki Brass & Copper and Nippon Shindo plan brass bar output at average 2,500-2,700 tonnes per month for October-December, almost as much as July-September. KITZ Metal Works is expected to continue full production at 3,500 tonnes per month within this year. San-Etsu Metals aims to keep output level at around 5,500 tonnes per month without brass wire.