Japan is likely to see its domestic steel demand rise as increasing manufacturers seek to move overseas operations back to their home market.
The trend is mainly driven by the rapidly weakening yen, global supply-chain constraints, geopolitical risks and shifting wages patterns and is expected to accelerate towards the end of the year, according to Kiyoshi Imamura, a managing director of Tokyo Steel Manufacturing Co., Ltd.
However, there are some barriers these manufacturers need to concern, including the expensive electricity costs and shortage of labor due to Japan's shrinking and aging population, according to Takayuki Homma, chief economist at Sumitomo Corporation Global Research.
(Writing by Emma Yang Editing by Tammy Yang)
For any questions, please contact us by inquiry@fwenergy.com or +86-351-7219322.