Japan Alloyed Aluminium Makers Get 2-3 yen/kg Hike in June

Japanese secondary alloyed aluminium makers agreed with the users including die-casting makers to increase the ingot selling price by averaged 2-3 yen per kilogram for June shipment. The makers left the price unchanged for some users, which pay already higher. The aluminium makers could not gain all of 10 yen hike offer when offshore primary aluminium ingot price decreased to less than US$ 2,500 per tonne in June. Some alloyed aluminium makers got 7-8 yen per kg of hike in early June for June shipment while most of the makers got 0-5 yen hike due to weak primary ingot market. The averaged hike was 2-3 yen. The new price is around 310 yen per kg for ADC12 grade. With weak primary ingot price, import offer decreased to 290-300 yen per kg. The users are still cautious to shift to import despite of the widen gap between import and domestic price. The user of automobile industry plans 10% higher output in July-September. The higher output increases the alloyed aluminium demand. Alloyed aluminium makers try to seek 5 yen per kg hike for July shipment citing higher oil cost and unrealized price hike. They try to increase the price to cover higher oil cost along with traditional changing cost for raw materials.