In order to save the pressure of oversupplying steel, Japanese steel mills began to expand exports in the fourth quarter of last year. In order to avoid dissatisfaction with Asian steel mills, the markets of distant countries such as Africa and the Middle East have been strongly attacked. However, according to traders' understanding, under the high pressure of de-escalation, it is not ruled out that exports to Asia will be expanded from far and near, including Taiwan; even if there may be anti-dumping pressure, it is still necessary to have a try.

Traders pointed out that Japanese steel mills, including Nippon Steel, JFE, and other steel mills, have shut down several blast furnaces since 2020 due to the epidemic and other factors. Although the end of the epidemic and the Russian-Ukrainian war brought a wave of urgent demand, it was still unable to reopen the blast furnaces, and more and more closed. Nippon Steel even shut down the Kashima plant area, which can be seen that there is heavy selling pressure brought on by the oversupply.

Traders said that Japan, which has always treated imports mildly, can't afford to do so, as evidenced by the fact that Nippon Steel has initiated an anti-dumping investigation into steel imports from China.