Japanese stainless steel producers to reduce output

Japanese stainless steel producers to reduce output

According to recent market reports, major Japanese stainless steel producers plan to reduce their production further in the July-September period in order to keep prices from collapsing. The steel companies will reduce production of thin sheet used in construction materials because of the lower-than-expected demand from China and inflow of cheap products from other countries such as South Korea. Japanese largest stainless steel producer Nippon Steel & Sumikin Stainless Steel Corp. plans to reduce crude steel output 20 percent during the September quarter. In addition, Nisshin Steel Co and Nippon Metal Industry Co will reduce crude steel production 15 percent and 30 percent respectively.