Business Monitor International


Japan Metals Report

Published 15 May 2014

  • 53 pages
  • Instant access to your report online and PDF format through your account library
  • Includes 3 free updated quarterly reports
 
$1,295.00
Japan Metals Report

BMI View : Japan's metal industry will see minimal   growth to 2018 owing to the country's relatively weak long-term economic growth prospects .   The country's construction , automotive, and infrastructure industries will see declining growth in the coming quarters . Moreover, subdued global steel prices on account of continued overcapacity , as well as the relatively high costs of production in Japan, will put downward pressure on Japanese steel producers.

We expect multi-year metal production and consumption to see minimal growth. Our metals industry forecasts are in line with our below-consensus outlook for Japanese economic growth in the coming quarters, which we see expanding 0.9% in 2014 and 0.8% in 2015. While Japan remains one of the largest producers and consumers of various industrial metals, it faces a declining share of world output and demand, as both China and India expand their global share of production and consumption. Moreover, we believe the positive impact of government stimulus measures in 2013 looks to be wearing off, and with companies facing pressures to hike wages, continued growth in capital expenditure will be hard to come by. This will act as a further headwind to domestic metal demand. 

Subdued Outlook On Domestic & Foreign Trends
Japan - Steel Production & Growth

Overall, we expect production of refined metals to outpace growth in demand, leading to an output surplus over the coming years. Indeed, we expect Japan to become a larger net nickel exporter from 2014 onward. We therefore expect Japan's exports of refined metals to increase, with the primary export market being China, a market we expect to remain reliant on imported metals, at least in the short- to medium-term.

Table of Contents

BMI Industry View
7
SWOT
9
Metals SWOT
9
Industry Forecast
10
Steel: Headwinds Beckon, But Collapse Not Near
10
Japan To Remain Among Top Producers Through 2018
14
Table: Japan - Steel Production & Consumption (kt, Unless Stated Otherwise)
15
Table: Japan - Historical Steel Production, Consumption & Trade (kt, Unless Stated Otherwise)
15
Aluminium: Modest Growth As Sector Recovers
16
Table: Japan - Refined Aluminium Production & Consumption Forecasts ('000 tonnes, unless stated otherwise)
20
Copper: Production On Stronger Support
20
Table: Japan - Refined Copper Production & Consumption Forecasts (kt, unless stated otherwise)
23
Regulatory Development
24
Table: Japan - Political Outlook
25
Commodities Forecast
27
Steel Price Forecast
27
Table: BMI Steel Forecast
27
Short-Term Outlook
27
Core View
28
Global Steel Glut To Persist
28
Production: Rationalisation In The Long Term
29
Consumption: Growth Decelerating
31
Excessive Chinese Exports
32
Growing Arbitrage Between East & West
33
Risks To Price Outlook
33
Table: Steel Data & Forecasts
34
Table: Global Steel Prices By Region & Product, US$/tonne (ave)
34
Commodity Strategy
35
Iron Ore: Chinese Stimulus Not A Game Changer
36
Steel: Gradual Rationalisation Insufficient To Boost Prices
38
Aluminium: Recent Rally Unlikely To Persist Into H214
39
Copper: Bearish Forecast Appears Well Placed
40
Lead: Picking Up Autos Sector Tailwinds
41
Nickel: Recent Rise To Fall Back In H214
42
Zinc: Potential Test Of Resistance In Coming Weeks
44
Table: Select Commodities - Performance & BMI Forecasts
46
Competitive Landscape
47
Table: Japan - Largest Listed Metal Companies
48
Company Profile
49
Nippon Steel & Sumitomo Metal
49
Table: Nippon Steel - Financial Data
51
JFE Holdings
52
Table: JFE Holdings - Financial Data
55
Methodology
56
Cross Checks
56

The Japan Metals Report has been researched at source, and features latest-available data for steel, aluminium and other major globally-traded commodities. Our analysis covers all primary indicators, including production, exports and price, with our forecasts underpinned by Business Monitor International (BMI)'s macroeconomists global economic outlook. The report analyses trends and prospects and critically evaluates latest industry news, trends and regulatory developments in Japan.

BMI's Japan Metals Report provides industry professionals and strategists, sector analysts, business investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the metals industry in Japan.

Key Benefits

  • Benchmark BMI's independent metals industry forecasts for Japan to test other views - a key input for successful budgeting and strategic business planning in the Japan metals market.
  • Target business opportunities and risks in Japan through our reviews of latest industry trends, regulatory changes and major projects and investments.
  • Exploit the latest competitive intelligence and company profiles on your competitors and peers.

Coverage

BMI Industry View

Summary of BMI's key forecasts and industry analysis, covering metals production and prices, plus analysis of landmark company developments and key changes in the regulatory environment.

SWOT Analysis

SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis of the state's metals sector, business environment, politics and economics, which carefully evaluates the short- and medium-term issues facing the industry.

Global Metals Market Overview

Global demand, supply and price forecasts for steel and aluminium, as well as gold, copper and tin, drawing on both our industry expertise and our macroeconomic and financial market team's long-term global demand forecasts and shorter-term market views.

Industry Forecasts

Historic data series and forecasts to end-2018 for all key industry indicators (see list below) supported by explicit assumptions, plus analysis of key downside risks to the main forecast.

Production (`000 tonnes, US$bn), consumption (`000 tonnes, US$bn), exports (`000 tonnes, US$bn); prices (US$/tonne), and growth (%).

Macroeconomic Forecasts

BMI forecasts to end-2018 for headline country macroeconomic indicators, including real GDP growth (%), GDP per capita (US$), population (mn), industrial production index (% y-o-y average) and unemployment (% of labour force).

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Testimonials

'An essential, multi-faceted research tool. BMI’s thorough understanding of the major market players enables an informed – and informative – review of the sector’s actual performance, together with useful insights into current industry issues, which are topped-off with detailed and invaluable forecasts of industry and macroeconomic trends.’

Senior Research Analyst, ABC International Bank plc