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| Japan's Jul-Sep Crude Steel Output To Meet Actual Demand: JISF Chairman |
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Japan's crude steel production in the July-September quarter is expected to meet actual steel demand then after it hit bottom in the January-March quarter, while domestic inventory adjustments of steel products are on track to finish in the April-June quarter, Japan Iron & Steel Federation Chairman Shoji Muneoka (concurrently Nippon Steel Corp President) told the press conference he held April 22. The following are an outline of what he said at the press conference. [Japan's crude steel production] Under the existing circumstances, annual production is unlikely to exceed 100 million in fiscal 2009 (April 2009-March 2010). It would take 3-5 years for a recovery of annual production to the peak levels of 2002-2007 when the world's economies were thriving. In this connection, it remains to been how demand for steel products will come out in the wake of the economic stimulus measures announced by the governments of the world's various nations including Japan. [Domestic user industries] The consumer electronics industry is set to finish its inventory adjustment in the March-April period. Also, the auto industry is expected to complete its inventory reduction in the April-June quarter. Therefore, things with both industries promise to turn for the better in the April-June quarter. [World's economic prospects] China is likely to become the first nation to achieve an economic recovery. Besides, there are prospects of economic conditions reviving in advanced countries, Southeast Asia, Brazil, and India. But it is unthinkable that the USA could emerge first with an economic recovery. [China's situation] The Chinese government's economic stimulus measures in effect have begun to show results. For an indicator, domestic sales of motor vehicles totaled 1,110,000 units in March, the world's highest level so far. Moreover, local demand has begun to arise for long steel products and construction machinery as new construction projects make progress. Local steel demand is turning for the better, but it has yet to become a high level. |
| last modified : Tue 28 Apr, 2009 [12:25] |
