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Japan steel output shows first drop in 29 months in October

Reuters reported that Japan"s crude steel output fell for the first time in 29 months in October 2008 as the global financial crisis dampened demand for cars and construction projects.

Japan Iron & Steel Federation said that crude steel output fell by 2.7% YoY to 10.1 million tonnes in October 2008 as output of steel used in auto sheet plunged, while demand from construction companies stayed stagnant.

Nippon Steel Corporation and JFE Holdings Inc said last month they planned 3% to 6% output cuts in the October 2008 to March 2009 period.

But Mr Hajime Bada president of JFE Steel Corporation recently said that he expected a cut of at least 10% in auto sheet steel output to become necessary in the second half.

Nov 22, 2008 14:28
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