Secondary aluminium alloy makers and alloy users around Tokyo seem to have almost agreed in alloy ingot price down by 2-3 yen per kilogram for July shipment. The price decreased when import of Chinese makers’ AD12.1 grade alloy is increasing at lower price and the bid prices decreased at large-lot alloy users’ current tenders for August-September.
Alloy makers tried to sustain the ingot selling price for July shipment while alloy users such as automotive component makers requested price cut by 5 yen per kg or more. Alloy users pointed out Chinese brands’ AD12.1 grade alloy is sold at around 205 yen per kg in domestic market and alloy bid price downed at large-lot users’ recent tenders for August-September. Moreover, aluminium scrap market price continued decreasing for April-June. Alloy makers strongly disapproved of price cut since aluminium scrap market price hit bottom after June. Finally alloy makers and users seem to have agreed in price unchanging or small-range price down for July shipment. At overseas market, secondary aluminium alloy market price is strongly surging. Chinese secondary aluminium alloy makers are offering CIF US$ 2,510-2,520 per tonne for AD12.1 grade alloy against Japanese users. However, the price upsurge is canceled by strong yen trend and the domestic trading price stays at 205-208 yen per kg. Japanese alloy users are actively ordering China’s AD12.1 for consumption in 3Q 2011.Japan Steel Scrap Composite Prices (Sangyo Press)
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