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Nippon Steel expects output recovery in October-March

Argusmedia - Japanese steel maker Nippon Steel is projecting a slight rebound in crude steel output in October 2020-March 2021 from April-September because of a manufacturing demand recovery led by the auto industry. But the firm's 2020-21 crude steel output is expected to drop by 20pc on the year to around 32mn t, capped by the Covid-19 slowdown.

The firm's steel output tumbled to 7.2mn t in April-June when manufacturing demand slumped from the impact of the coronavirus. This output also stood below the quarterly output seen during the 2008-09 global financial crisis of 7.7mn t. Nippon Steel has halted six of its 15 blast furnaces (BF) and four coke ovens given lower demand. The six BFs include the No.2 BF at Muroran that shut on 8 July and the No.2 BF at the Yawata works that completed banking on 18 July.

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