Major Korean aluminum flat products refineries picked up their slaes prices by 60,000 won per ton over the April shipment, representing the two months conseutive hikes latest. The straight pickup in April was a reflection of the risen LME aluminum values by $12.6 per ton in March, while attributable in part to the stronger foreign exchange rate counter the US dollar.
Subsequently, Choil Aluminum decided its new tag of 3,290,000 won per ton, 60,000 won per ton higher than the prior month over the April shipment, and its local export price picked up $40 per ton to $2,770 per ton. Novelis Korea slso joined the price increase by 60,000 won per ton to set at 3,040,000~3,060,000 won per ton the Korean market applying difference on the customer by customer basis.
The major cause to make the Korean price of aluminum flat products increased includes the LME aluminum price hike which averaged $1,872.2 per ton in March, $12.6 per ton higher than February. The foreign exchange rate also heightened from 1,122.45 to 1,130.72, a 8.27 won per dollar gain.
As the US exonerated Russia's Rusal sanctions, the upward terndes of world aluminum prices continue. However, with the stricter environmental protection by the Chinese government the Chinese aluminum production is expected to be attenuated slowly. The approval of strip mining has been no longer issued since July last year, reducing the production as well. china's short supply of aluminum pulled down the global production, fueling to raise bauxite prices which are substituted for.
Meanwhile, the Korean almunimum premium is expected to be affected by the Main Japanese ports Premium which most recently showed revival in the three months absence. Plural Japanese buyers and global aluminum producrs are known to have agreed to the new MJP of $105 per ton ove the second quarter this year, addressing a 24 percent abrupt hike from the fisrt quarter seen $84 per ton while turning upward in the three quarters absence.
Source: Steel&Metal News |
