Japan Steel’s Order Receipt Decreases by 5.2% in August

Japanese steel makers’ carbon steel order receipt decreased by 5.2% to 6.398 million tonnes in August from a year earlier, announced by Japan Iron and Steel Federation on Friday, which decreased for the first time in 28 months. The demand decreased by 6.4% to 4.465 million tonnes from domestic buyers, which decreased for the first time in 2 months and which hit the lowest since April 2006. Especially the demand from constructions decreased. The demand from automobiles decreased for the first time in 5 months. The order receipt decreased by 2.9% to 1.797 million tonnes for export, which decreased for the first time in 15 months. Finance crisis in USA is making an impact to Japanese steel demand.

The demand decreased by 7.9% to 1.032 million tonnes for construction in August from a year earlier, by 0.15% to 240,000 tonnes for civil construction and by 10.1% to 582,000 tonnes for building construction.

The order decreased by 11.4% to 1.183 million tonnes for dealers, which was record low after 1987.

The order from domestic manufacturers increased by 2.8% to 2.027 million tonnes in August from a year earlier. The demand increased by 1.25 to 448,000 tonnes shipbuilding, by 1.1% to 217,000 tonnes for industrial machinery while decreased by 3.45 to 1.03 million tonnes for automobile and by 4.2% to 160,000 tonnes for electric machinery. The demand for electric machinery decreased for 4 consecutive months.

The order increased to 1.648 million tonnes by 1.4% for hot-rolled steel coil in August from a year earlier, to 1.074 million tonnes by 0.2% for plate while decreased to 751,000 tonnes by 12.4% for steel bar, to 332,000 tonnes by 4.5% for H-beam.