Japanese major secondary aluminium alloy makers including Daiki Aluminium Industry and Nikkei MC Aluminium try to raise their ingot selling price by 5 yen per kilogram for August shipment. Aluminium scrap market price rebounded in early August and high price material inventories remain at alloy makers mainly for Russian base metal AK5M2. The alloy makers aim to reflect high material cost to improve profitability.
The alloy makers and the users around Tokyo almost agreed in ingot price down by 5-7 yen per kg for July shipment. The alloy makers requested to keep the price flat but ingot users including automotive component makers disapproved the offers since aluminium scrap market price downed during July. The aluminium scrap market price rebounded by 3-5 yen per kg in early August. The secondary aluminium alloy makers are willing to put material cost upsurge on their ingot selling price earlier. An official of Daiki Aluminium Industry said they need to raise the price by 5 yen at least. Domestic demand for secondary aluminium alloy is expected to maintain steady for a while. Domestic car sales keep active thanks to Japanese government’s tax reduction program for eco friendly cars. Japanese export of auto components and knockdown sets also maintains active for North America and China. The ingot consumption is expected to keep high level by the end of September at least.Japan Steel Scrap Composite Prices (Sangyo Press)
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