Japan: Ferrous Scrap Exports Showed Marginal Increase in April’20

Japan, the world’s third-largest crude steel producer witnessed a slight increase by 5% M-o-M to 0.88 MnT of ferrous scrap exports in Apr’20 against 0.84 MnT exported a month ago in Mar’20. However, on a yearly basis, scrap exports have increased sharply by 49% Y-o-Y in comparison to 0.59 MnT exported during the same period a year ago, in Apr’19.

South Korea remained the largest importer of ferrous scrap with a share of 38% in total scrap exported by Japan, as it imported 0.33 MnT in Apr’20, up by 12% M-o-M, as compared to 0.27 MnT reported in Jan’20. Imported scrap offers to South Korea were remained favorable in the range of JPY 22000-23500/MT earlier in Feb’20, during this period Korean buyers might have booked actively for later March-April’20 shipments.

Followed by Vietnam with a 31% share, as it imported 0.3 MnT scrap in Apr’20, up by 4% M-o-M as against 0.26 MnT in Jan’20.

Other Japanese steel exports like semi-finished too observed an increase on a monthly basis, while finish flat & long exports have observed a fall in Apr’20, according to the recent data released by the customs department.

Semi-Finished: Japan’s semi-finished export observed an increase in Apr’20. The country has exported 0.41 MnT of semi-finished in Apr’20, increasing by 8% M-o-M as compared to 0.38 MnT of semi-finished exported in Mar’20. On a yearly basis too, exports have registered a sharp increase by 71% Y-o-Y from 0.24 MnT in Apr’19. Taiwan remained the largest importer with a 37% share in total semi-finished exported by Japan, as it imported 0.15 MnT (up by 36% M-o-M) in Apr’20.

Finished Flat: Japan finished-flat exports fell by 22% and stood at 1.97 MnT in Apr’20 as compared with 2.54 MnT a month ago. However, the same remains unchanged on a yearly comparison. Japan’s exports to China fell by 20% on the month to 0.24 MnT in Apr’20, and Vietnam by 34% to 0.15 MnT, which was due to the competitive offers from nations like India and Russia. Other major exporting destinations in Apr’20 were- South Korea stood at 0.25 MnT (down, 29% m-o-m), Thailand 0.24 MnT (down, 14% m-o-m), and Indonesia 0.12 MnT (down, 25% m-o-m).

Finished Long: Finish long export from Japan fall by 19% M-o-M to 0.17 MnT in Apr’20 as against 0.21 MnT in Mar’20. On a yearly basis, finish long exports observed marginal decrease by 6% Y-o-Y from 0.18 MnT exported during the same period a year ago. South Korea’s finish long import fall by 13% to 0.07 imported in Apr’20, as compared to 0.08 MnT imported in Mar’20. Followed by other major importers were Thailand & USA which imported 0.01 MnT each in Apr’20.

According to the world steel association, Japan’s crude steel output dropped by 19% in Apr’20 and stood at 6.62 MnT as compared to 8.2 MnT in Mar’20, while on a yearly basis too, the production dipped by 23% Y-o-Y as against 8.65 MnT of crude steel in Apr’19.

Quantity in MT
Source: Customs Data & SteelMint Stats