Aluminium premiums
Our price reporters track and assess a wide range of premiums for aluminium in locations across Asia, Europe and the Americas, providing the industry with tools to hedge premium price risk.
Our aluminium premiums are industry and financial benchmarks. The London Metal Exchange and the Chicago Mercantile Exchange have a number of premiums contracts settled against Fastmarkets’ aluminium premiums.
In September 2015, the CME launched a Rotterdam duty-unpaid futures contract settled against Fastmarkets’ daily duty-unpaid Rotterdam price. The CME’s aluminium premium duty-paid futures contract, underpinned by Fastmarkets’ Rotterdam duty-paid premium, started trading on the CME in March 2016.
On March 11 2019, the LME launched a new cash-settled aluminium duty-unpaid European contract, settled against Fastmarkets’ benchmark Rotterdam premium. The introduction of the regional aluminium premiums on the LME provides the market with the ability to manage their price exposure on a single trading venue, since the LME also holds the global benchmark for the underlying aluminium price.
Latest insight
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Webinar: Introducing new Fastmarkets-settled LME alumina and aluminium premium contracts
Learn how Fastmarkets assesses daily alumina indices and aluminium premium assessments and how you can manage your risk with the new LME cash-settled contracts. Join us as we discuss recent market trends and price drivers for 2019.
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LME European aluminium contract to give participants additional hedging tool in risky market
Physical aluminium premiums in Europe have been susceptible to extreme price swings in the past decade. Having more options, like the LME cash-settled contracts, gives market participants more opportunities to mitigate risk during volatile market events.
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LME adopts Fastmarkets MB prices for new cash-settled derivatives
The London Metal Exchange (LME) and Fastmarkets have launched three new cash-settled derivative contracts to provide effective risk management tools for the aluminium, alumina and cobalt markets.
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Market-reflective prices
Being clear about our price assessment and index process is important. You can be confident that our pricing process is impartial, market reflective and market aligned. Our methodology is aligned with core IOSCO principles and we have successfully completed an assurance review (from PricewaterhouseCoopers) for our financial benchmarks.
View our aluminium premium methodology and specification documents here.
Our pricing process
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Aluminium Market Intelligence Service
Five-year iron ore price forecasts with quarterly analyst updates
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