Nickel exports from Japan may climb to a record this year as Prime Minister Shinzo Abe’s stimulus hasn’t spurred demand in the third-biggest user, adding to a global glut, the country’s top producer said.
This week’s slide in Japanese stocks raises the stakes for Prime Minister Shinzo Abe’s planned revamp of business regulations as officials sought to sustain confidence in efforts to revive the economy.
Kobe Steel Ltd., Japan’s third- biggest steelmaker, jumped 16 percent in Tokyo trading, leading domestic rivals higher and extending yesterday’s gain after saying it planned to sell its voting right stake in hydraulic equipment maker Nabtesco Corp.
Nippon Steel & Sumitomo Metal Corp., JFE Holdings Inc. and Kobe Steel Ltd., Japan’s top three steelmakers, plan to pare costs by 275 billion yen ($2.7 billion) this year after a global glut pushed down product prices and curbed earnings at their iron and steel divisions.
Nippon Steel & Sumitomo Metal Corp. and JFE Holdings Inc., Japan’s top steelmakers, will reclaim marketshare lost to faster-growing Asian rivals, including Chinese suppliers, helped by a weaker yen and Prime Minister Shinzo Abe’s currency policies, analysts said.
Sumitomo Metal Mining Co., Japan’s top nickel producer, will slow the pace of investments in the next three years and shift focus to spending on raw material assets as competition for resources intensifies.