The Copper Industry in Japan after W. W. I.

Abstract

The outstanding events in the Japanese copper industry after W. W. I. were the heavy fall of the copper price and the sudden increase of the copper imports from U.S.A. The cost of Japanese copper mines had become so high compared with other copper mines in the world, that the Japanese copper industry lost its position in the world copper market, where world-wide copper stocks were excessively accumulated and where the price was declined. In 1922 the customs on copper imports rose \7.0 per a hundred kin from \1.2, and under this protective customs, Japanese copper mines tried to make their costs lower through the rationalization; improvement of technology in concentration and smelting, and mechanization in mining. But these efforts were limited by the natural conditions of Japanese mines; the poor ore deposits, complex composition of copper ore, and so on. Accordingly the Japanese copper cost could not catch up with that of U. S. A. But for the protective customs, Japanese copper industry could not have continued its production. So the Big 5 copper companies tried to keep main copper consuming companies, such as Furukawa Electric Wires, Sumitomo Wires and so on, under their control, so as to save their domestic copper market safely. In 1927 the Big 5 copper companies and 4 big electric wires companies reached the agreement on copper supply and demand. Under this agreement, the Big 5 saved 70% of domestic copper consumption in their control, and the monopoly in the Japanese copper trade was established.