JPN Cu Alloy Product Shipment Keeps Flat Y/Y in 1H08

Japanese domestic shipment of copper and copper alloy fabricated products was 505,631 tonnes for January-June 2008, decreasing by 1% from the corresponding period of 2007, according to Japan Copper & Brass Association. The shipment increased for connector applications and automotive parts while decreased for air conditioners and gas appliances. The total amount was almost as flat as 1H07.The shipment for domestic users decreased by 0.8% to 111,780 tonnes in 1H08 from 1H07, 42,896 tonnes of which was for refrigerators, down by 9.7% year-on-year, and 23,734 tonnes for gas appliances, declining by 4.7%. Demand for copper tube was stagnant from industrial and residential air conditioners. Demand for brass valves seemed impacted by Japanese law revision to enhance propane gas valve replacing period from 3 years to 5 years.Semiconductor related shipment decreased by 0.2% to 26,478 tonnes due to slow demand from discrete semiconductors. On the other hand, the shipment for connectors inside electric machines increased by 7.4% to 73,735 tonnes. The shipment of copper and brass strips increased thanks to stable sales of digital appliances. For transporting machines, the shipment increased by 4.7% to 38,437 tonnes. Brass bar shipment increased for radiators and copper alloy strip for connector pins when domestic auto production kept high level.The shipment for export decreased by 2% to 93,851 tonnes. The export of brass bar, phosphor bronze sheet and strip was impacted by underlying trend of stronger yen and slowdown of world economy.