Al Scrap Price to Decline in Tokyo

Aluminium scrap market price is weak at 176-181 yen per kilogram for new cutting grade and at 134-139 yen for foundry scrap from industrial machine at secondary alloyed aluminium makers’ purchase price around Tokyo. Primary aluminium ingot price was yearly high range at around US$ 2,650 per tonne for 3-month futures at buyers’ price in afternoon trading. However, Japanese aluminium scrap price is unlikely to increase when the shipment is slow in eastern Japan due damage by the major earthquake.

Some aluminium scrap dealers and the users around Tokyo shift to weekly pricing while they usually set the price in every half month. Local secondary aluminium makers’ scrap purchase price decreased by 2-3 yen per kg for all grades last week and the dealers also decreased the purchase price. The market price would continue decreasing in April when operation rate of the makers is low at eastern Japan plants due to lower die-casting output level under automobile makers’ production cut.