Secondary aluminium alloy makers and aluminium scrap dealers around Tokyo agreed in price hike of aluminium scrap by about 5 yen per kilogram for the shipment for December 1st-15th. Local secondary aluminium alloy makers are purchasing new cutting aluminium scrap at around 144-149 yen and used beverage can at around 100-105 yen at dealers’ sites without freight. The scrap price rebounded for the first time in a month to follow the upsurge of offshore primary aluminium market.
Secondary aluminium alloy makers were negative to approve scrap hike because they agreed with aluminium die casting makers to set the secondary aluminium alloy price unchanged for October and November shipment. However, the alloy makers couldn’t reject the hike when local scrap generation maintains low and primary aluminium market price surges. Primary aluminium ingot market price is increasing by 5 yen to 210-220 yen per kg from the end of previous week. Many scrap dealers aren’t aggressive to sell aluminium scrap at cheap price even though their inventories increase. Meanwhile, most secondary aluminium makers continue minimum scrap procurement adjusted to their output level. Another factor is that domestic secondary aluminium makers continue stable procurement of offshore materials, mainly for AK5M2 from Russia.Japan Steel Scrap Composite Prices (Sangyo Press)
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