Decrease in steel demand “Reduction of production capacity, not reorganization” Chairman of the Japan Iron and Steel Federation June 16 17:07
At the news conference, Nippon Steel Eiji Hashimoto, who became the chairman of the Iron and Steel Federation of Japan, said at a press conference that the steel demand was reduced due to the spread of the new coronavirus infection. I showed the idea that I should be thorough.
Mr. Hashimoto, chairman of the Iron and Steel Federation of Japan, commented on the impact of the spread of the new coronavirus infection on steel demand. "Demand is declining both domestically and internationally. 80 million tonnes of steel," he said.
On top of that, it was pointed out that the reorganization of a major domestic steel manufacturer is necessary. "I don't personally think that the reorganization is the answer that survives. First, it is necessary to thoroughly narrow down the surplus production capacity of each company. "Instead of reorganization such as business integration, he said that each company should first thoroughly implement measures such as production capacity reduction.
In the steel industry, the global demand for steel has decreased, and the three major domestic companies have settled in the final deficit with the settlement of their financial results for the year ended March 31, and the situation remains severe.
For this reason, Nippon Steel has decided to shut down its steelworks in Kure City, Hiroshima Prefecture, and other companies are working one after another to reduce production capacity.