Help Desk -
9958816305, 9810335381

Japan Aluminium Premiums Climb To USD 108 Per tonne in Q3 – Report

Metal News - Published on Tue, 25 Jun 2019

Image Source:
Reuters reported that premiums for Japanese aluminium shipments for July to September were set at USD 108 per tonne, up 3% from the current quarter, as tighter supply in Asia outweighed fears over weakening demand, five sources directly involved in the pricing talks said. The new figure is higher than the USD 105 per tonne premiums PREM-ALUM-JP in the April to June quarter and marks a second straight quarterly increase. Producers had sought premiums of USD 115 to USD 120 per tonne for the third quarter.

Japan is Asia’s biggest importer of aluminium and the premiums for primary metal shipments it agrees to pay each quarter over the London Metal Exchange cash price set the benchmark for the region.

A source at a producer said that “We had signed all of our July-September term contacts at USD 108 a tonne by early this week.”

The source said that Spot premiums in Asia have risen due to fewer shipments of semi-fabricated metal from China to other Asian countries due to stronger aluminium prices on the Shanghai Futures Exchange.

But slower demand from China for the light metal, used in semiconductors and the machinery to make them, as well as worries over further weakness in demand due to an escalating US-Sino trade conflict capped gains, said another source at a trading house that also signed its July-September contracts at USD 108 a tonne.

Source :

Posted By : Mohan Sharma on Tue, 25 Jun 2019
Related News from Metal segment