Al UBC Scrap Price to Rise in Tokyo

Aluminium used beverage can scrap is flat with potential increase capability around Tokyo. The market price is at around 70 yen per kilogram for purchase price by secondary aluminium alloy makers. The successful bids were around 70 yen at tender by local governments by last week.

Aluminium UBC scrap demand has not increased in April. The yard dealers are increasing their stock for expectation of price increase though scrap export to South Korea is not active. One market source said many ferrous scrap dealers won tenders by local governments in March. These ferrous scrap dealers seemed to secure UBC with expectation for price increase.

Secondary aluminum alloy makers concern price increase. However, they purchase a small volume of scrap when they hold enough stock for low operation rate.

Major deoxidizing agent maker also keep UBC purchase at very low level and make the product from stocked lower grade aluminium sash scrap as substitution material.