October 14, 2008

Japanese crude steel output hit record in 2007-08

According to Japan Iron and Steel Federation, crude steel output in Japan hit a record high 121.5 million tonnes in the year to March 2008 on strong ongoing domestic demand from carmakers and shipbuilders while exports zoomed. Production rose 3.2%. Crude steel output in March rose by 5.1% YoY, the 22nd consecutive increase

A spokesman at the trade body said that top Japanese steel mills have already been producing at full capacity to keep up with the strong demand and renovation of blast furnaces at several steelmakers, including Sumitomo Metal Industries Ltd and Kobe Steel Ltd, enabled them to inch up output.

The previous high was 120 million tonnes in the business year to March 1974, when Japan was enjoying economic growth of more than 10% and a construction boom.

The spokesman said that exports have remained strong despite the yen's advance this year due to robust demand for sheet steel from Japanese manufacturers operating in other Asian countries.