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| Kanto Mini Mills' March Crude Steel Output To Total 352,000 Tons |
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Japan's 18 electric steelmakers operating in the Kanto area are expected to produce a total of 352,000 tons of crude steel in March, up around 15,000 tons from the level of a month ago, according to a Japanese trading company's survey. The outlook means their crude steel production in March will increase by nearly 30,000 tons from a year ago. Among the 18 electric steelmakers, Asahi Industries Co and eight other companies plan to produce more crude steel each in March than a month ago, with less than 10% for most of the increments. Of the remaining nine companies, Godo Steel Ltd and four others plan to reduce what they produce each, while the rest plan to let their production volumes move sideways. In this connection, the 18 electric steelmakers' March purchases of locally available ferrous scrap are estimated to total 379,000 tons, up about 26,000 tons from their planned February purchases. There is a possibility that they will struggle to secure local ferrous scrap if both export and westbound domestic shipments of the material continue at a high level in the Tokyo Bay area, leading to a scramble for ferrous scrap cargoes. The 18 electric steelmakers' ferrous scrap stocks are estimated to have totaled 127,000 tons in the final week of February, up only 7,000 tons from the end of January. Meanwhile, benchmark prices of No2 HMS ex steelworks in the Kanto area were Y32,500-33,000/ton as of March 2, with a high of Y33,500/ton. Among the 18 electric steelmakers, Jonan Steel Corp increased what the company pays for local ferrous scrap by Y1,000/ton from March 2. As a result, the new delivered price of No2 HMS is Y33,000/ton at the company's Kawaguchi works. Also, Asahi Industries Co executed a purchase price increase of Y500-1,000/ton for specified grades of local ferrous scrap from March 2. |
| last modified : Mon 08 Mar, 2010 [10:51] |
