Japan Rebar Demand to Increase for 2012, Industry Official

Japanese concrete reinforcing steel bar industry group’s chairman Kenji Hiwatari said at monthly press conference on Friday Japanese rebar demand would increase for rebuilding activity in the major earthquake damaged area for 2012. Mr. Hiwatari said small bar shipment increased by 4.8% in 2011 from 2010 and the rebar demand would increase for infrastructure to meet new demand in the country with aging population and lower birth rate.

The group’s vice chairman Hideichiro Takashima said the rebar demand would increase for condominium construction in Nagoya and western Japan but the demand is weak in the area compared with eastern Japan. Another vice chairman of the group Toshiya Adachi said the rebar order receipt decreased to around 174,000 tonnes around Tokyo in January from the previous month when the users increased the order in December but the demand increases in and after February.

Ministry of Economy, Trade and Industry’s director of Iron and Steel Division Koichi Shioda warned recent Japanese higher inventory despite of lower rebar output. He said rebar makers should be cautious for the production to meet actual lower demand level.