Crude stainless steel production in January 2012 by the 7 major Japanese stainless steel mills was 281,770 tons, up 4.0% from 270,979 tons recorded in December 2011. This is another monthly increase following December when the output rebounded from the drop in November due to the curtailment. |
Normally this time of the year, just before the fiscal year-end, is a period of low consumption of steel based on weak demand, but this year seems an exceptional one and the stainless steel industry expect a little stronger demand from automobile sectors, because automobile production is forecasted to increase from the first calendar quarter (Janury - March) through to the second quarter (April - June) as the demand for automobiles are to be stimulated by the special incentives for the ecology-conscious cars and by the long-anticipated full-scale restoration work in the East Japan seriously damaged by the Earthquakes.
In January, Yen appreciated further compelling the exports of stainless steel products to drop by 13.7% from December. This means that the uptrend of demand from domestic sectors was evident.