Japanese producers reduce production for construction
Japan's important steelmaker Nippon Steel will continue the reduced production of steel plates in Japan for the third quarter of the year. The decision is a result of the slow demand of domestic construction sector, although the demand for the material for exports and for the shipbuilding industry still remains pretty strong. The company started to reduce production in the second quarter with the aim of adjustment of inventories. According to industry reports, JFE Holding is also intending to reduce the production levels for construction. These producers are aiming to balance the supply and demand and prevent the inventory levels from rising. The production cuts are expected to be more than 10%.