Japanese scrap traders expected difficulties in procuring Shindachi material in the short term after carmaker Toyota closed several production lines for 3-9 days from Wednesday
. And fellow carmaker Mazda announced on Wednesday that it would suspend production at two plants for 13 days from March 28.
The automotive sector is a key generator of Shindachi scrap, along with other manufacturing operations that make intensive use of steel sheet, such as the production of white goods. In Japan and South Korea, the flat steel used to make such products is commonly produced using Shindachi scrap.