Japan: Crude steel output declines for 7th consecutive month in Oct’25 as demand stays weak

• Crude steel production declines by 4.1% y-o-y in Jan-Oct’25
• Output from electric furnaces declines for 15th straight month

Japan Metal Daily: Japan’s crude steel production in October 2025 dropped marginally by 1% y-o-y to 6.853 million tonnes (mnt), marking the seventh consecutive month of a y-o-y decline, according to Japan Iron and Steel Federation (JISF). However, daily production increased by 8,000 tonnes (t) m-o-m as compared to September 2025.

Cumulative production: From January-October 2025, the cumulative production reached 67.33 mnt, a 4.1% y-o-y decline. Looking at the fiscal year so far (April-October), output stood at 46.93 mnt, representing a decline of 3.8% y-o-y. This downtrend in production is attributed to low steel demand both domestically and internationally.

Production by furnace type: Converter steel output in October stood at 5.062 mnt, down marginally by 0.8% y-o-y. This marked the seventh consecutive month of decline for converter steel output. Furthermore, production from electric furnaces totalled 1.792 mnt, showing a drop of 1.8% y-o-y, continuing its downward trend for the 15th consecutive month.

Production by steel type: In terms of steel type, ordinary steel registered a slight rise of 0.8% y-o-y to 5.373 mnt in October 2025, while special steel fell by 7.3% y-o-y to 1.481 mnt.

Hot-rolled steel production volume also remained under pressure at 5.942 mnt, down by 2.7% y-o-y, marking its tenth consecutive month of decline. Ordinary steel products, such as thick plates, hot-rolled coils, and galvanised sheets, continued to show weak growth, reflecting broad-based stagnation across end-use sectors.

Outlook

In the near term, Japan’s crude steel output is expected to remain range-bound as persistent weakness in demand continues to suppress production levels. With order volumes staying low, steelmakers are likely to maintain a cautious operating stance, and a meaningful pick-up in output is unlikely until demand shows a clearer and more sustained recovery.

Note: This article has been written in accordance with a content exchange agreement between BigMint and Japan Metal Daily.