Japan Primary Al Price to Increase by 30-40 yen/kg in April-June

Japanese primary aluminium price would surge by 30-40 yen per kilogram for April-June compared with January-March when overseas market price increases and yen rate keeps weakening under aluminium demand recovery. The price would continue to increase toward March, the end of Japanese fiscal year.

Primary aluminium price at London Metal Exchange decreased to less than US$ 1,300 per tonne in 2009 due to the economy recession. Japanese production of aluminium rolled products decreased by 40% in February 2009 from a year earlier, according to Japan Aluminium Association.

However, the LME price is increasing after it exceeded US$ 2,000 per tonne in autumn 2009 while the demand is gradually recovering. Speculative buying lifts the price.

Japanese aluminium demand is increasing month by month. The shipment of aluminium flat products showed a year-on-year increase in November. The shipment is increasing for information technology related field.