Japan Carbon Steel Stock Drops by 4.4% in July

Japanese carbon steel inventory decreased by 4.4% or 238,000 tonnes to 5.124 million tonnes for domestic shipment at end of July from June, which was the first drop in 4 months, according to Japan Iron and Steel Federation. The stock was the lowest level since 5.028 million tonnes in March 2004. The stock for export decreased by 1.4% or 14,000 tonnes to 984,000 tonnes in July from June, which decreased for 2 months in a row. The total stock decreased by 4.0% or 251,000 tonnes to 6.107 million tonnes, which decreased for 2 months in a row.

The carbon steel stock for the shipment decreased by 5.1 percentage points to 81.5% in July from June. The stock rate decreased by 7.2 points to 94.1% for domestic shipment. The stock rate was less than 100% for 26 months in a row for the total and for the first time in 4 months for domestic shipment.

The carbon steel stock held by makers decreased by 5.3% to 4.597 million tonnes at end July from June while the distributors’ stock increased by 0.4% to 1.51 million tonnes. The stock increased for 3 months in a row for the distributors while the makers’ stock decreased for 2 months in a row.

The small bar stock decreased by 78,000 tonnes to 535,000 tonnes at end July from June. The stock decreased by 53,000 tonnes to 1.552 million tonnes for flat steel coil with more than 600 millimeters width and by 45,000 tonnes to 986,000 tonnes for galvanizing steel. The stock decreased by 18,000 tonnes to 101,000 tonnes for mid- and small-sized shapes, by 12,000 tonnes to 88,000 tonnes for large sized shapes and by 11,000 tonnes to 288,000 tonnes for H-beam while the steel pipe stock decreased by 26,000 tonnes to 509,000 tonnes.