Production and technology of iron and steel in Japan during 2003

摘要

During 2003, the Japanese economy continued to make a gradual recovery. In spite of a contraction in public works spending, sentiment in the business community improved in response to rising stock prices and sustained high growth in East Asia, where the effects of SARS were confined to a limited area, and the economy achieved a clear-cut recovery in capital investment. Consumer spending showed a firm trend, and exports also remained strong. As a result, the government now projects a real GDP growth rate of +2.0 percent for the fiscal year, with the nominal growth rate also turning positive, at +0.1 percent. On the other hand, the economy has not overcome the problem of deflation. Although the national consumer price index rose in October against the same month in the previous year, marking the first increase in 5 years and 6 months, overall, prices continued to fall during the year. Employment also remained problematic. The total unemployment rate declined to 4.9 percent in December, but as an annual average, unemployment continued high, at 5.3 percent, and the average of totally unemployed for the year was 3.5 million, exceeding 3 million for the 5th consecutive year. Looking at domestic steel demand in 2003 in terms of statistics for orders received, in construction works, demand increased modestly due to a recovery in private-sector capital investment in the non-residential sector. However, housing starts remained on the same level as in 2002, and civil engineering was affected by a large drop in public works projects. Thus, on balance, construction overall demand showed a declining tendency. In manufacturing industries, in addition to strong shipments to the auto industry and a continuing high level of new keels laid in the shipbuilding industry, industrial machinery also continued its recovery, particularly in construction machinery and metal processing/machine tools, which are enjoying strong external demand. As a whole, shipments to manufacturing industries registered a plus from the previous year.