Aluminium Scrap Market Price Turns Down in Osaka

Aluminium scrap market price downed by 5 yen per kilogram for high grade scrap and by 3 yen per kg for low grade scrap around Osaka. High grade scrap price downed for the first time in three and a half months. Local scrap supply and demand balance is recently loosing. Secondary aluminium alloy makers pay 162-167 yen per kg for new cutting scrap, 127-132 yen per kg for casted machine parts scrap and 120-125 yen per kg for pressed can scrap.

Secondary aluminium alloy makers are increasing utilization of imported materials due to its cheaper price than domestic aluminium scrap. Meanwhile, secondary aluminium alloy’s shipment volume is currently decreasing.

Russian AK5M2 offer price is around US$ 2,050 per tonne, equal to approximately 170 yen per kg. Japanese domestic base metal price is around 180 yen. Thus Japanese secondary aluminium alloy makers are utilizing cheaper AK5M2 or other importer materials.

Alloy makers’ shipment for die casting represented year-to-year minus in September and October when Japanese government’s program for eco friendly car purchasing ceased. Alloy makers are minimizing material inventories along shipment volume down.