Nippon Light Metal tries to increase the rolling margin for aluminium flat and extrusion products after October. The firm seeks 15-20% hike for flat products and 10% for extrusion after the firm already sought 15% hike for colored aluminium for October. The firm has tried to pass higher aluminium ingot cost as top priority. However, other cost also increased for energy and subsidiary materials. The actual profit is lower than 2005 though the nominal profit increases when in-process inventory value increased due to higher ingot price. The firm tries to increase the rolling margin for aluminium flat products as early as beginning of 2007 when the cost increased by 600-700 million yen per year. With the higher cost, the extrusion making cost is also suffered from higher cost for copper and zinc used for 2000 and 7000 series alloy products. The firm tries to pass the higher cost along with other materials cost including steel materials. The firm already started price hike for colored aluminium when the cost increased for coating materials and other materials. The firm considers price hike for foil products, which the firm produces in the group.
Japan Steel Scrap Composite Prices (Sangyo Press)
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