Japanese steelmakers have previously stated that little-to-no impact was expected from the US Section 232 import tariffs on steel given their specialized product offerings to US consumers. However, according to the Japan Iron and Steel Federation, Japanese exports to the US declined 38 percent in March compared to the same month the previous year.
JFE Holding's President Eiji Hayashida said, “Some semi-finished products from Japan may have been replaced by the products from the countries exempted from the US duties, such as Brazil, but we continue to receive orders for high-end products as the US customers can’t find alternatives.” He added that he expects most specialized products to be filed for exemption by the various consuming industries in the US due to the higher import prices. JFE Steel Corporation, part of the JFE Holdings group of companies, is Japan’s second largest steelmaker.
Hayashida also commented on JFE’s strong interest in India. He said, “India is very attractive as a production base and as a market. We have a great interest in India.” JFE presently holds a 15 percent stake in JSW Steel. JSW Steel is part of a group biding for bankrupt Essar Steel India.