Japan Economy Improves Slowly Recovers, JISF Chairman

Mr. Shoji Muneoka, chairman of Japan Iron & Steel Federation and president of Nippon Steel, said Japanese economy is unlikely to experience double dip when the economy is recovering gradually, while the recovery is still far from self sustaining recovery, at the monthly press conference on Thursday. Mr. Muneoka estimates Japanese steel makers increase the selling price to secure profit while high grade steel demand is increasing in East Asia and steel raw materials price is estimated to increase.

Mr. Muneoka showed strong opposition to quarterly raw material price setting offer from BHP Billiton. Mr. Muneoka said steel makers and mining companies should set the raw material price depending on supply-demand balance, business conditions and other factors. Not only Nippon Steel, but also the makers in Japan, South Korea, and Europe have the same opinion, according to Mr. Muneoka.