Daiki Aluminium Industry Recovers Pre-Quake Level Output

Japanese major secondary aluminium ingot maker, Daiki Aluminium Industry’s output increased to the level before the major earth quake. The output would be higher than year earlier level in September when car makers are increasing the production. The firm sees secondary aluminium ingot output would be 20% higher than year earlier level in and after October.

Daiki Aluminium Industry’s operation rate decreased to 66.5% in April when the users cancelled the purchase after the major earthquake in March. However, the rate was 70.8% in May and 81.6% in June due to supply chain normalization. The rate increased to 94% in July.

The firm’s profit rate increased in April-June due to aluminium scrap market price decrease from oversupply. Despite the lower shipment, the firm posted the profit for April-June.

The firm sees the output is 99,500 tonnes for first half of fiscal 2011 ending in March 2012 and 130,000 tonnes for second half of the fiscal. The output would increase by 6,000 tonnes from fiscal 2010. The firm sees imported material sales also would increase by 17% for fiscal 2011 from fiscal 2010 due to higher yen exchange rate.