Japan: Ferrous Scrap Exports Up 14% in Q1 CY20 on Increased Buying from Vietnam

Japan, largest ferrous scrap exporter, witnessed an increase in its scrap exports in the Q1'20. As per recent data released by the country's customs department, scrap export increased by 14% Q-o-Q to 2.33 MnT in Q1'20 as compared to 2.05 MnT exported in Q4'19.
On a yearly basis too, it has been observed that ferrous scrap export increased by 35% Y-o-Y from 1.72 MnT exported in Q1'19.

Vietnam remained the largest importer of ferrous scrap from Japan with a share of 36%, importing 0.83 MnT in Q1'20, up by over 30% Q-o-Q as compared to 0.64 MnT scrap imported in Q4'19. The country has imported the largest quantity at 0.36 MnT of scrap in Feb'20, as imported scrap offers to Vietnam remained favourable in the range of USD 270-285/MT from late Nov to earlier Dec'19, as per price data maintained with SteelMint.

Another major importer was South Korea witnessed a fall in ferrous scrap import by 11% Q-o-Q to 0.80 MnT in Q1'20 as compared to 0.9 MnT scrap registered in Q4'19.
The country witnessed an increase in exports of semi-finished and finish flat and long steel quarterly in Q1'20, the customs data maintained with SteelMint showed.

Semi-Finished: Japanese semi-finished exports rise by 26% to 1.07 MnT in Q1'20 as against 0.85 MnT semi-finished exported during the Q4'19. On a yearly basis too, the country has observed a sharp increase by over 110% Y-o-Y from 0.51 MnT of semi- finished exported during the same period a year ago. Taiwan remained the largest importer of semi-finished as it imported 0.37 MnT during the Q1'20 with a 35% share of total semi- finished exported by Japan.

Finish Flat: Japanese flat steel exports increased by 10% in Q1 CY'20 to 6.82 MnT as compared with 6.18 MnT in the previous quarter as the domestic demand started to decline with Tokyo Olympics 2020 backed infrastructure and construction projects nearing their completion. Thus, the nation's steelmakers shifted their interest to exports in the first quarter of this year.

On a monthly basis, the nation's export surged by 18% to 2.54 MnT in Mar'20 over 2.15 MnT a month ago. Also, the export volume in Mar'20 ascended by 28% on the year in contrast with 1.99 MnT in Mar'19.

Finish Long: Japanese exports for finish long steel up by % Q-o-Q with 0.75 in Q1'20 as compared to 0.43 Q4'19. On a yearly basis, exports drop by 13% Y-o-Y from 0.56 MnT during the same period a year ago. South Korea remained the major importer of finish long in Q3'19 as it imports 0.18 MnT down by 5% as against 0.19 MnT registered in Q2'19.

Japan, world's third-largest crude steel producer has observed a slight up in its crude steel production by 3% in Q1'20 and stood at 24.36 MnT as compared to 23.68 MnT in Q4'19, according to the world steel association.

Quantity in MT
Source: SteelMint Stats & Customs Data