Japan Al Re-rollers’ Operating Rate Drops to 79.3% in CY2011

Japanese aluminium re-rollers’ operating rate was averaged at 79.3% in 2011, which downturned after two years, according to Japan Aluminium Association. Rolled aluminium production decreased mainly for flat products through the year. The demand temporarily dropped from car industry after the Japan Earthquake. In the second half year, the export was impacted by Thai flood.

The operating rate for aluminium flat rolled products was averaged at 79.9% in 2011 compared with 87.7% in 2010. The averaged operating rate was 83.7% in the first half year while the rate was less than 80% for 5 months in a row through December

Annual production of flat products decreased by 6.7% to 1.195 million tonnes in 2011 from 2010. The export maintained inactive through the year. In the first half year, the users of aluminium flat products put priority on the supply to domestic market after the Japan Earthquake. The export was also affected by global economic slowdown and Thai flood in mid-2011 and late 2011. Domestic demand also decreased from car industry after the earthquake.

Meanwhile, the operating rate for aluminium extruded products was averaged at 78.3% in 2011 compared with 78% in the previous year. The operating rate decreased for car related products while the rate improved for building materials.