Japanese and South Korean delegations held 10th steel dialogue in Seoul on Tuesday. Korea noted Korean steel trade deficit with Japan continues despite of the narrower deficit and urged Japan should avoid steel export surge to Korea and try to improve the sustainable trade relationship. They agreed to keep supply balance for mutual interests.
They shared concern on spreading protectionism including higher import tariff and new restriction for import products. They agreed for cooperation to improve the trade condition through international talk opportunity including G20 meeting and Organisation for Economic Co-operation and Development (OECD). Japan emphasized concern for oligopoly in steel raw materials industry and steel making countries should cooperate to oppose such action through cooperation with steel user industries. They agreed for cooperation to avoid potential integration of Western Australian iron ore business of BHP Billiton and Rio Tinto. Korea said the raw steel production will decrease by 8.8% in 2009 from 2008 despite of new capacity including electric furnace steel making and hot strip mill at Asan bay plant of Dongbu Steel. Korean delegation included officials of Korean Ministry of Knowledge Economy and executives of POSCO and Dongbu Steel. Japanese delegation included officials of Ministry of Economy, Trade and Industry and executives of Nippon Steel and JFE Steel.Japan Steel Scrap Composite Prices (Sangyo Press)
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