Japan: Ferrous scrap exports moved up by 59% in H1 CY' 20

Japan, the world's third-largest crude steel producer observed an increase in ferrous scrap exports by 59% during H1 CY' 20 to 5.42 mn t as against 3.41 mn t during H1 CY' 19 as per SteelMint statistics data. Similarly, on monthly basis, scrap exports have decline by 36% m-o-m to 0.86 mn t of ferrous scrap exports in Jun' 20 against 1.34 mn t exported a month ago in May' 20.

Vietnam remains the largest ferrous scrap importer with 32% of share in total scrap exported from Japan in H1 CY' 20, importing 0.12 mn t in H1 CY' 19, down by 23% m-o-m in Jun' 20 as against 0.34 mn t in May' 20.

Other major importers such as South Korea and Taiwan imported 1.75 mn t and 0.79 mn t in H1 CY' 20 respectively.

Other Japanese steel exports like semi-finished, finished flat too observed an increase, while finish long exports have observed a fall in H1 CY' 20, according to the recent data released by the customs department.

Semi-Finished: Japan's semi-finished export observed an increase by 70% in H1 CY' 20. The country has exported 2.32 mn t in H1 CY' 20 in comparison to 1.37 mn t in H1 CY' 19. On the other hand, semi-finished export volume significantly decreased by 43% m-o-m in comparison to 0.54 mn t against in May' 20. South Korea remains the largest importer from Japan with 29% of share in total semi-finished exported in H1 CY' 20.

Finished Flat: Japan's finished flat steel exports reported an increase by 18% in H1 CY '20 aggregating to 13.99 mn t as against 11.81 mn t in H1 CY '19. In H1 CY '20. Exports to China moved up by 14% and stood at 2.14 mn t in H1 CY' 20 as against 1.89 mn t in the previous year H1 CY' 19. While in the Southeast Asian countries exports to Vietnam jumped by 41% y-o-y to 1.27 mn t against 0.9 mn t in H1 CY '19, and that to Bangladesh rose significantly by 97% on the year to 0.57 mn t in H1 amid competitive export offers.

Also, there is a decline in domestic market demand on the wake of the completion of Tokyo Olympic 2020 construction projects at the beginning of the year and COVID related lockdowns beginning from Apr '20, led to a shift of focus to the overseas market. On the other hand, the export volumes declined by 58% m-o-m in Jun '20 to 1.64 mn t in contrast with 3.56 mn t in May '20.

Finished Long: Finish long exports from Japan observed a slight decline by 3% to 1.05 mn t in H1 CY' 20 as compared to 1.10 mn t of finish long exported in H1 CY '19. South Korea imported 0.45 mn t of finish long in H1 CY' 20 in comparison to 0.39 mn t in H1 CY' 19. Other suppliers like China and Thailand imported 0.12 mn t each in H1 CY' 20.

Quantity in t
Source: SteelMint Stats & Customs Data