Japanese integrated steel makers concerning about sheet demand drop

Japanese integrated steel makers will build up the adjustment of the supply and demand for steel sheet and to review a supply when the activity of building construction, manufacturing and export worsens. Export for all steel items to South Korea decreased in August for 4 consecutive months in a row year-to-year and domestic steel sheet inventory of hot-rolled, cold-rolled and coated steel sheet was over 4 million tonnes.Domestic automobile plans the production decreased the output plan to below 12 million from 12.3 million in 2008 planned on beginning of the year. Japanese integrated steel source estimates annual automobile production is flat at 11.8 million in 2008 from 2007 but uncertainty over the future grows for automobile export in August was lower than same month last year for the first time in 37 months. Knockdown production also falls to below 9 million, which planned at the beginning of fiscal year ending March 2009 when makers lowered the planning not only in developed countries also in developing such as China or India. Other manufacturing activities also weaken from cutting investment by companies or construction stagnancy.Integrated steels concern about export too. Steel export increased in August for 9 consecutive months in a row from a year earlier. While to South Korea, the export decreased for 4 consecutive months. The export to Taiwan decreased for the first time in 8 months.