Japanese major secondary aluminium alloy makers aim to sustain their alloy selling price for July shipment unchanged from the previous month. The price negotiations with the alloy users seem to be finishing this week. Automotive component makers are offering the price down when import of low-priced alloy ingots is recently increasing. On the other hand, the alloy makers are unwilling to approve the price cut mainly due to production cost upsurge.
AD12.1 grade secondary aluminium alloy price is weakening in Japan. The bid prices downed by 10 yen per kilogram at August-September tender held by a large-lot alloy user compared with the previous tender. Meanwhile, AD12.1 grade alloy made in China has recently imported at 197-203 yen per kg of lower price. Japanese alloy makers are unwilling to accept the price down since fuel cost stays high and Russian base metal AK5M2 price is surging. Moreover, domestic aluminium scrap supply is expected to tighten and the market price should rise in a short term when automakers are rapidly raising the operation rate.Japan Steel Scrap Composite Prices (Sangyo Press)
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