The Japanese Ministry of Trade (METI) forecasts that the country’s crude steel output in the July-September period to increase by 2.2 percent year on year to 22.31 million mt, marking the first increase in the last seven quarters, according to a report by Reuters. In the July-September period of the previous year, Japan’s crude steel output totaled 21.82 million mt.
The year-on-year increase is expected to be attributed to the recovery in automobile production and higher exports, while crude steel output is forecast to decrease by 0.5 percent compared to the previous quarter due to lower electric arc furnace production amid seasonal factors.
In the July-September quarter this year, demand for Japanese steel products from both domestic and export markets is forecast to increase by 0.9 percent year on year to 20.37 million mt, while finished steel exports are predicted to rise by 10.0 percent year on year. Meanwhile, downside risks to steel demand from the automotive industry continue due to ongoing concerns over semiconductor shortage.