Japanese inventory levels increased slightly in May as production increased but better sales meant that inventories fell in days of use, according to the Japan Iron and Steel Federation (Jisf). Inventory for exports meanwhile was pulled down as shipments increased, Kallanish notes.

Total inventories increased to 6.71 million tonnes at the end of May from 6.66mt a month earlier, Jisf data shows. Total shipments increased to 6.05mt however, bringing the inventory rate to 110.9 from 119.9 a month earlier.

The domestic inventory rate remained high at 158.2, with inventories at 5.69mt and shipments at 3.6mt. Export inventories dipped slightly to 1.02mt however, as export shipments jumped to 2.46mt.