Japan Secondary Al Alloy Makers to Keep Price for June

Japanese major secondary aluminium alloy makers try to keep the selling price for June shipment at after shipment negotiation with the major users. The makers try to avoid lower price under higher raw materials cost despite of the users’ pressure for lower price citing lower primary aluminium ingot and aluminium scrap market.

The alloy makers kept the price for May shipment while some transaction was 2-3 yen lower from April. The users of automotive parts makers seek 3-5 yen down for June shipment when aluminium scrap price decreased by more than 10 yen per kilogram after the major earthquake and international aluminium market decreased.

The alloy makers try to keep the price level when they still hold high priced raw materials stock. A maker said the production cost is still high partly due to higher energy and subsidiary materials cost.