Secondary aluminium alloy makers around Tokyo are likely to set their purchasing price for aluminium scrap unchanged for the first half of October compared with the second half of September. The makers and scrap dealers started price negotiation for the first half of October this week. Some scrap dealers seek even higher price against secondary aluminium alloy makers those who reduced scrap purchasing price rather wider since late August. Current market conditions are that aluminium scrap supply maintains tight in the region and that domestic primary aluminium price slightly rebounded.Domestic primary aluminium price is currently 298 yen per kilogram at dealers’ sites without freight, up by about 20 yen from mid September. Aluminium scrap supply is short when housing constructions are delayed due to the revision of Japanese building standards law and aluminium scrap generation is rather decreasing such for aluminium sash scrap. The generation volume seems not to recover soon. Scrap inventory is being low at some secondary aluminium alloy makers around Tokyo. The alloy makers need to secure enough volume of aluminium scrap in order to keep full operation.Scrap dealers seem unable to achieve price hike for the first half of October since the rebound range of primary aluminium price was just slight and secondary aluminium alloy makers are suffered from the downtrend of their product selling price. Secondary aluminium alloy makers are likely to keep full operation. Aluminium scrap supply is expected to tighten more in the region. Scrap price might become higher toward the second half of October.
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Japan Steel Scrap Composite Prices (Sangyo Press)
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