Japan ranked third in crude steel production

According to global crude steel data published by Worldsteel, Japan ranked third again in 2023.

83.2 million tons in 2020,

96.3 million tons in 2021

89.2 million tons in 2022,

In 2023, it maintained its third place with 87 million tons.

In 2021, the crude steel production of the Japanese steel industry reached 96.33 million tons, showing a large increase of +15.8% compared to the previous year. In 2020, Japan's crude steel production declined by 16.2% from 2019 to 83.19 million tons due to the coronavirus pandemic. However, in 2021fiscal year, crude steel production increased in line with the economic recovery, just a step below the level of around 100 million tonsper year it has maintained since 1972.

In 2022 steel production declined by 7.4% compared to the previous year. This drop was attributed to a sluggish recovery in automobile manufacturing and reduced export demand amid a global economic slowdown. A researcher from the Japan Iron and Steel federation explained, "The slowdown in domestic steel demand resulted from ongoing setbacks in the recovery of automobile production, while overseas demand weakened in the latter part of the year due to heightened inflation and interest rate hikes in the United States and Europe."

In 2023, Japan experienced a 2.5% decline in output, reaching 87 million metric tons. This marks the second consecutive year of decrease, attributed to subdued demand from the manufacturing and construction sectors, along with weakened exports, particularly due to increased exports from China. Despite signs of recovery in the automobile production sector, other manufacturing segments remained sluggish. Japanese steelmakers were unable to benefit from a weaker yen against the U.S. dollar, as Chinese steel mills expanded exports to Southeast Asia, a traditional market for Japanese steel products.

According to the Ministry of Economy, Trade and Industry (METI), Japan is expected to witness a 1.7% year-on-year increase in crude steel production during the first quarter of 2024, driven by robust demand from automakers.