Aluminium Scrap Price Keeps Firm in Tokyo

Aluminium scrap market price keeps firm in Tokyo. The price increased by 7-8 yen per kilogram for high grade scrap and by around 5 yen per kg for low grade scrap during first half of November at purchasing price by alloyed aluminium makers. In a month the price increased by 15 yen per kg for high grade scrap and by about 10 yen for low grade scrap.Aluminium spot and future prices at London Metal Exchange declined to below US$ 2,700 per tonne currently, though the prices surged up to over US$ 2,800 in October. Telegraphic transfer selling rate recently became weaker to over 118 yen per US dollar. Under the situations primary aluminium ingot price is decreasing to below 360 yen per kg in the market around Tokyo. However, aluminium market still maintains higher than in September. Japanese scrap dealers are watching overseas aluminium market fluctuation carefully.Japanese alloyed aluminium makers keep full production to meet increasing demand mainly for automobile. Domestic aluminium scrap supply would become much tighter if scrap import decreases from China where tariff system is revised by the government. Aluminium scrap generating volume is not so much in Japanese domestic market mainly for high grade scrap. The price could keep firm for a while unless overseas primary aluminium market increases or decreases sharply.