Japan Ferrous Scrap Demand Hits Record in 2008

Japanese ferrous scrap consumption increased by 0.6% to record 52.884 million tonnes in 2008 from 2007, increasing for 7 years in a row, according to Japan Ferrous Raw Materials Association. The consumption could decrease in 2009 due to major production cut by steel makers.

The consumption increased by 14% to 14.133 million tonnes by converter in 2008 from 2007 while the consumption decreased by 4.3% to 30.706 million tonnes by electric furnace and by 4.1% to 6.603 million tonnes by casting. The electric furnace’s consumption decreased for the first time in 3 years.

The consumption is expected to lower level both at integrated steel makers and electric furnaces. The integrated steels, which had increased the consumption for recent years, are expected to reduce the consumption when they now stop the purchase from market under very low operation rate.