Japan: Ordinary steel demand declines y-o-y in Mar'24

The Japan Iron and Steel Federation (JISF) reported a 4.8% y-o-y decrease in domestic orders compared to March 2023. This decline, totalling 2.992 million tonnes (mnt), comes after a steady increase since September of last year.

Orders for steel products in Japan fell in March for the first time in six months, reflecting a slowdown in construction and manufacturing sectors.

Weakening demand from key industries like automobiles and industrial machinery was a significant factor. Manufacturing orders dipped 2% y-o-y to 1.17 mnt, marking the second consecutive month of decline. Production of main automobiles, though showing some improvement from previous months, still fell by 6% y-o-y. Industrial machinery experienced a steeper decline of 17.2% y-o-y, totalling 90,000 tonnes (t).

The construction sector also saw a downturn, with production for construction and civil engineering dropping 11.3% y-o-y to 763,000 t. Both residential and non-residential construction sectors faced double-digit order declines.

Export orders followed a similar trend, decreasing by 22.3% y-o-y to 1.68 mnt. When combined with domestic orders, the total represents a 12% y-o-y decrease.

Note: This article has been written in accordance with an article exchange agreement between Japan Metal daily and BigMint.