Japan Small Steel Bar Output to Reach 12 million tonnes in F2006

Japanese small bar output is expected to reach 12 million tonnes in fiscal 2006 ending March 2007 for the first time since 2002. The output increased by 2% to 11.4 million tonnes in fiscal 2005, which increased for 2 years in a row. The output keeps near 12 million tonnes level since late 1990s though the level is around 30% lower than the peak of 15.73 million tonnes in fiscal 1990. The output will reach 12 million tonnes in fiscal 2006 with firm demand for office building and condominium nationwide compared with 12.24 million tonnes in fiscal 2002.The output is expected to keep increasing in fiscal 2006. The demand is firm for major projects including expansion of Haneda airport along with firm demand for private sector including condominium and office building. The output decreased to 11.52 million tonnes in fiscal 2003, which decreased to less than 12 million tonnes. The output will reach 12 million tonnes after the output was just less than 12 million tonnes in fiscal 2004 and 2005.