According to the Japan Iron and Steel Federation (JISF), Japan's crude steel production totaled around 6.4 million tons in February, decreasing by 5.7% compared to the previous month and by 8.5% from the same month a year ago.

The drop, which continued for 12 months in a row, was mainly due to sluggish demand from the construction industry. This figure also hit a new low since July 2020.

An analyst at JISF pointed out that postponements of construction projects due to surging material costs and labor shortages have dampened demand in the construction industry. Besides, the US’ 25% tariffs on steel and automobiles would also result in a drop in Japan’s crude steel output of millions of tons.

Meanwhile, the output of pig iron dropped by 9% month on month and by 8.2% year on year to roughly 4.6 million tons.