Japan Carbon Steels Inventory Lowers Despite of Worst Shipment

Japanese domestic inventory of carbon steel products decreased by 5% or 256,000 tonnes to 4.899 million tonnes at the end of April from a month earlier, announced Japan Iron & Steel Federation on Friday. The inventory represented month-to-month decrease for 4 straight months and became below 5 million tonnes for the first time since September 1994. The inventory for export decreased by 4.7% or 29,000 tonnes to 589,000 tonnes, which showed minus for 2 months in a row. Meanwhile, the inventory-to-shipment rate upped by 16.6 points to 132.9% as total due to 40-year lowest shipment level. The ratio upped by 15.3 points to 166% for domestic shipment, the secondly worst in 2009.

Steel makers’ inventory decreased by 4% or 164,000 tonnes to 3.949 million tonnes, which represented minus for 5 straight months. Dealers’ inventory decreased by 7.3% or 121,000 tonnes to 1.539 million tonnes, decreased for 4 straight months.

On the other hand, carbon steel products shipment for domestic market dropped by 13.7% or 468,000 tonnes to 2.952 million tonnes in April from March. The shipment represented below 3 million tonnes for the first time since January 1975. The shipment for export declined by 23.8% or 368,000 tonnes to 1.178 million tonnes. The total shipment shrank by 16.8% or 835,000 tonnes to 4.13 million tonnes, the lowest volume since January 1969.