Shanghai Sigma’s AD12.1 Alloy Export Price Hits Year-High for Japan

Chinese largest secondary alloyed aluminium maker, Shanghai Sigma Metals increased AD12.1 alloy selling price to year-high of CIF US$ 1,930 per tonne to Japan. The president Tony Huang said to phone call of Japan Metal Bulletin’s reporter the firm tries to cover higher aluminium scrap cost when primary aluminium price increases.

Mr. Huang said the monthly production will reach year-high in October thanks to firm demand in China and export. The production increases by 11% to 20,000 tonnes in October from September. The export volume increases by 18% to 13,000 tonnes when the export to Japan increases by 14% to 8,000 tonnes under higher yen rate. The firm expects the production will increase to 21,000 tones in November.

Chinese demand is still strong. Shanghai Sigma gets more orders from automotive parts makers and diecasting makers when automobile sales keeps firm. Chinese automobile production exceeded 10 million units in January-October and will increase to 12 million units in 2009, according to China Association of Automobile Manufacturers. The automobile sales are expected to exceed 10 million units in 2009.