Osaka Secondary Al Alloy Makers Set Scrap Purchase Price Unchanged

Secondary aluminium alloy makers around Osaka set aluminium scrap purchasing price unchanged for second half of November when primary aluminium ingot market price was flat. The purchasing prices are around 155-165 yen per kilogram for new cutting scrap, 155-165 yen per kg for 63S scrap, 140-150 yen per kg for casted aluminium machine scrap, 125-135 yen per kg for sash scrap and 105-115 yen per kg for used beverage can including freight.

Estimated breakeven point for imported primary aluminium ingot was average 192.40 yen per kg in October due to offshore primary aluminium market price in small-range fluctuation. The current breakeven point is estimated at 192-196 yen.

Supply and demand are balanced as total while generation volume of low grade scrap including sash scrap and casted aluminium machine scrap seems to be remarkably decreasing. One scrap dealer source said they need to offer very high price to collect low grade scrap, almost near the reselling price.