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Data released by the Japan Iron and Steel Federation (JISF) on September 22 showed that Japan's crude steel production declined for the fifth consecutive month in August, falling 4.1% year-on-year to 6.64 million tons. L390M steel, Daily crude steel production averaged 214,000 tons, a 4.1% decrease from July's 223,000 tons.
Blast furnace production was 5.113 million tons, down 3.6% year-on-year; electric arc furnace production was 1.522 million tons, down 2.6% year-on-year. L390M steel, The JISF noted that converter steel production has declined for five consecutive months, while electric arc furnace steel production has declined year-on-year for the thirteenth consecutive month.
Downstream, the output of hot-rolled steel products, including both ordinary and special steel, was 5.86 million tons in August, a year-on-year decrease of 1.9%, marking the eighth consecutive month of decline. Among these, the output of heavy strip steel was 2.96 million tons, accounting for 50.5%, a year-on-year decrease of 2.1%.
Weak demand is closely linked to the manufacturing downturn. S&P Global data shows that Japan's manufacturing PMI was 48.7 in August, marking the second consecutive month in contraction territory. L390M steel, Domestic steel mills, including Tokyo Steel, stated that insufficient demand and uncertainty surrounding US tariff policies are the main challenges. Tokyo Steel has already announced a price reduction for October, its first adjustment since May.
Cumulatively, Japan's crude steel production from January to August 2025 was 54.1 million tons, a year-on-year decrease of 4.5%; during the same period, hot-rolled steel production was 48.23 million tons, a year-on-year decrease of 3.6%. Among them, the production of heavy strip steel was 23.56 million tons, accounting for 48.9%, a year-on-year decrease of about 2%.
