Japan Steel Wire Products Import Surges in 2005

Imported steel wire products increased the presence in Japanese market. Japanese carbon steel wire products market decreases in volume in recent years due to lower expenditure for civil works by the government. The import products increase the domestic market share with the lower price when domestic makers reduce the output under the lower demand. Domestic output decreased by 11.2% to 545,000 tonnes for steel wire, by 1.6% to 126,000 tonnes for galvanized steel wire and by 14.7% to 93,000 tonnes for nail in 2005 from 2004, according to Ministry of Economy, Trade and Industry. The import increased by 195% to 15,531 tonnes for steel wire, by 34.4% to 49,711 tonnes and by 20.1% to 42,664 tonnes for nail, according to Ministry of Finance. The import increased the domestic market share in 2005 with the higher import and lower domestic output. The import share increased to 2.7% in 2005 for steel wire from 0.8% in 2004, to 28.3% for galvanized steel wire from 22.4% in 2004 and to 31.4% for nail from 24.6% in 2004. The import of carbon steel wire rod, which is used to make steel wire, nail and other wire products, also surged in 2005. The domestic share increased to near 20% in 2005 from just more than 10% in 2004. The one fifth of domestic made steel wire products are also made with imported wire rod.