According to the Japanese Ministry of Trade (METI), Japanese demand for crude steel in the first quarter of 2014 is expected total 27.85 million mt, decreasing by 1.4 percent from the fourth quarter output forecast made in the third quarter, with an expected increase of 4.6 percent compared to the same quarter of 2013.
Total demand for Japanese steel, including exports, is expected to reach 24.26 million mt in the first quarter of 2014, down 0.1 percent from the estimated data for the previous quarter, and up 0.6 percent compared to the first quarter of 2013. Of the estimated first quarter demand, exports are expected to account for 8.45 million mt, down 4.8 percent year on year and up 4.1 percent compared with the estimate for the previous quarter.
Meanwhile, of the total demand in the first quarter of 2014, 19.10 million mt is expected to be for ordinary steel, decreasing by 1.6 percent year on year and down 0.4 percent from the estimated data for the previous quarter, while 5.16 million mt of demand is expected to be for special steel, up 9.7 percent year on year and up 0.7 percent from the estimated data for the fourth quarter this year.
The ministry announced that in the first quarter of 2014 steel demand from the domestic construction sector will remain steady with the anticipation of a rise in interest rates and other factors, despite a reduction in the effect of last-minute demand before the consumption tax hike. Meanwhile, manufacturers' steel demand will increase from the previous quarter (forecasted result) and on a year-on-year basis, due to an increase in demand in accordance with a manufacturing sector recovery including motors vehicles, as well as a bottoming-out of the decrease in demand for shipbuilding.