JFE Holdings Reports Declining EBITDA Per Ton Amid Market Pressures

Tokyo, February 6, 2025 – JFE Holdings has reported a decline in EBITDA per ton, reflecting ongoing challenges in the global steel industry. According to the company’s FY2024 forecast, EBITDA per ton is expected to be approximately $115/t, signaling a continued drop in profitability due to weak demand and rising costs.

The decline is driven by lower crude steel production (22.0 million tons) and higher raw material prices, particularly for iron ore and coking coal. Additionally, impairment losses from overseas subsidiaries and inventory valuation losses have impacted overall earnings.

Despite these challenges, JFE Holdings is implementing cost-cutting measures and price adjustments to stabilize margins. The company is also ramping up investments in green steel and high-grade electrical steel, targeting higher-value product segments.

Looking ahead, JFE Holdings expects a moderate recovery in demand, particularly from shipbuilding and energy sectors. However, China’s steel oversupply and geopolitical risks remain key threats to the 2025 market outlook.

Industry analysts will be closely watching how JFE navigates these headwinds as the company pushes for operational efficiency and long-term growth. ​