Aluminium scrap transaction is almost nominal around Tokyo when secondary aluminium alloy makers stop the aluminium scrap purchase. The makers try to reduce the scrap and products inventory toward fiscal year end in March reducing the new scrap purchase. Major scrap dealer also would stop or minimize the buying in and after February.
Aluminium scrap purchase price by secondary aluminium alloy makers is around 90-95 yen per kilogram for new cutting scrap and around 70-75 yen for used beverage can around Tokyo. However, a scrap dealer source says alloy makers purchase little scrap and the bid is lower than the dealers’ buying price. The major dealer source says the demand is nearly zero in January when the alloy makers operate at historical low level utilization. The dealer limits the buying in February as January. Aluminium price at London Metal Exchange declined to US$ 1,338 per tonne for the future purchase at afternoon session on January 27 from US$ 1,380 per tonne on the previous day. Scrap dealers concern about whether they should pay for lower grade scrap sales among dealers when the market would keep decreasing.Japan Steel Scrap Composite Prices (Sangyo Press)
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