Japanese Al Market Price Indicator Downs for Oct-Dec

Japanese primary aluminium ingot price, the indicator for domestic market price of rolled aluminium products, will decrease by 30 yen per kilogram for October-December compared with the previous quarter. The indicator downs for the first time in late 3 quarters. The lower price could support market demand for rolled products though the actual demand condition is unforeseeable in October-December.

Japanese market price of rolled aluminium products is generally based on the previous 3-month average price of primary aluminium ingot. Rolled products’ prices for October-December are based on 3-month average price of primary aluminium ingot for June-August. The indicator surged by 30 yen per kg for April-June and by 10 yen for July-September while downs by 30 yen for October-December.

Current demand for rolled aluminium products has returned to 80% level of recent peak in January-June 2008. Market demand for can materials is stimulated by hot summer in Japan. Aluminium re-rollers are in full capacity productions to supply products related to automobiles and capacitors. The shipment is also steady for wholesalers. Domestic re-rollers expect the demand keeps stable for a while.