Japan’s Iron Ore Imports Drop in March Amid Weak Steel Demand

Iron Ore

March Iron Ore Imports Dip Despite Monthly Rebound

Japan's iron ore imports declined by 1.2pc year-on-year in March, reflecting weak steel demand and lower shipments from Brazil. The country imported 8.1mn tonnes of iron ore, although this marked a 28pc rise from February, according to preliminary finance ministry data.

The average import price was $102.20/t, down 17pc from the same month last year.

In yen terms, the price averaged ¥15,283, also a 17pc year-on-year decline, underscoring a softer raw materials market.

Brazil Shipments Fall Amid Weather and Maintenance Disruptions

Shipments from Brazil—Japan’s second-largest iron ore supplier—were disrupted by heavy rainfall and terminal maintenance. Brazil’s overall iron ore exports fell by 10pc year-on-year in February, reaching 24.5mn tonnes, the lowest level for that month since 2023.

Japan reportedly imported around 2.6mn tonnes from Brazil in March, but country-specific data will be confirmed later in April. The shortfall in Brazilian supply likely contributed to Japan’s reduced overall iron ore intake.

Domestic Steel Output Outlook Remains Sluggish

Japan's steel production is expected to fall by 4.9pc year-on-year in the April–June quarter. The trade and industry ministry (METI) projects steel output at 20.2mn tonnes, reflecting sluggish domestic demand in construction and manufacturing.

Lower steel production directly impacts iron ore requirements, weakening import volumes and softening global iron ore prices.

The Metalnomist Commentary

Japan's lower iron ore imports in March reflect a broader industrial slowdown and disrupted raw material flows. As steel production forecasts weaken, pressure mounts on iron ore prices and global supply chain predictability.