JFE Steel Corp is to close a blast furnace at its Kawasaki steel plant in Kanagawa prefecture as part of a plan to cut domestic production by 13% over the coming years.
Analysts are already predicting the 4m tonne annual reduction in steel production will cut capesize demand by between eight and 10 capesize bulk carriers to Japan.
JFE's move comes after production cuts announced earlier this year by Nippon Steel which are expected to have a similar effect on iron ore imports to Japan.
