The market price of UBC (used aluminium beverage can) represented the first decline around Tokyo in two and a half months. A Japanese major aluminium recycler decreased its UBC purchasing price by average 10 yen per kilogram for 16-30 September compared with the previous half month. Japanese secondary aluminium alloy makers followed the price cut by around 10 yen per kg. On the other hand, UBC price still stays high despite of lowering primary aluminium market. Some of Japanese secondary aluminium alloy makers seem halting UBC procurement.UBC purchasing price by Japanese secondary aluminium alloy makers is around 185-190 yen per kg without freight. A source said UBC price is still higher by around 10 yen per kg than the estimated level along with current primary aluminium price.A Japanese major can recycler decreased its UBC purchasing price by 10 yen per kg effective for arrivals on and after 22 September. The recycler raised the price by 10 yen for UBC arrived during 16-31 August and set the price unchanged for 1-15 September arrivals. Much UBC was delivered at the recycler because the procurement price was relatively high. The recycler now holds enough UBC inventory.Market demand for UBC is weakening though the demand maintained strong from secondary aluminium alloy and deoxidizing agent. A scrap dealer source pointed out that secondary aluminium makers are reducing UBC procurement when UBC price keeps expensive. UBC supply is loosening and the market price is expected to decline more in October.
Japan Steel Scrap Composite Prices (Sangyo Press)
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