Final decision on open consultation on methodology review for aluminium primary foundry alloy silicon 7 ingot premium, ddp Germany and ddp Eastern Europe in relation to CBAM

Fastmarkets invited feedback from the industry on the pricing methodology for its assessment of the aluminium primary foundry alloy silicon 7 ingot premium, ddp Germany and ddp Eastern Europe, ahead of the definitive period for the EU’s Carbon Border Adjustment Mechanism (CBAM), which will start in January 2026.

The consultation was carried out between January 8, 2025, and March 14, 2025.

During the extensive consultation, Fastmarkets received comprehensive and wide-ranging feedback from a broad cross-section of the PFA value chain.

The majority of the market feedback received during the consultation supported Proposal 1, with most market participants preferring its simpler, more coherent mechanism for reflecting CBAM costs to that of Proposal 2.

Proposal 1
• Additional CBAM costs will be incorporated into the aluminium primary foundry alloy silicon 7 ingot premium, ddp Germany and ddp Eastern Europe, from January 2026.
• The aluminium primary foundry alloy silicon 7 ingot premium, ddp Germany and ddp Eastern Europe will therefore become inclusive of additional CBAM costs.
• With this proposal, Fastmarkets would not look to price individual brands or publish a separate CBAM reference, but would instead publish regular updates in pricing rationales and news coverage about the effect of CBAM on the assessed premiums.

Reporters may apply expert judgement to exclude data deemed unrepresentative, questionable or unreliable prior to the final assessment. All discarded data will be explained in the rationale.

This methodology will be subject to change if there any further amendments to the implementation of CBAM. If there are any changes to the EU regulation, Fastmarkets will propose another consultation to adjust this methodology accordingly.

This consultation sought to ensure that our methodologies continue to reflect the physical market under indexation, in compliance with the International Organization of Securities Commissions (IOSCO) principles for Price Reporting Agencies (PRAs). This includes all elements of our pricing process, our price specifications and publication frequency.

The current methodology for aluminium primary foundry alloy silicon 7 ingot premium, ddp Germany and ddp Eastern Europe can be found here:

To see all Fastmarkets’ pricing methodology and specification documents, go to: https://www.fastmarkets.com/methodology

What to read next
The publication of Fastmarkets’ MB-MN-0008 Manganese sulfate 32% Mn min, battery grade, exw mainland China, price assessment for Thursday January 22, 2026, was delayed because of a reporter error. Fastmarkets’ pricing database has been updated. The following price was affected: MB-MN-0008 – Manganese sulfate 32% Mn min, battery grade, exw mainland China The price is a […]
Fastmarkets invites feedback on the methodology of its MB-LI-0033 lithium hydroxide, battery grade, spot price cif China, Japan & Korea price and MB-LI-0029 lithium carbonate, battery grade, spot prices cif China, Japan & Korea price. The consultation will consider observed pricing divergences between China, Japan and South Korea.
As previously announced, Fastmarkets has discontinued its legacy assessments for bleached and unbleached European sack kraft as of January 22 2026.
Following a market consultation, Fastmarkets launched European average prices for bleached and unbleached sack kraft with effect from January 22 2026 to complement our existing country-specific sack kraft assessments.
The proposed amendments will see the publication time of the two FOT Qingdao indices for MB-IRO-0011 iron ore 61% Fe fines, fot Qingdao, yuan/wet tonne, and MB-IRO-0022 iron ore 61% Fe fines, fot Qingdao, $/dmt conversion change from daily at 6:30pm Singapore time to daily at 6:30pm Shanghai time, as well as to be aligned with the Chinese pricing […]
The following prices have been corrected: AG-CH-0082 Hide index, fob US, $/pc was published incorrectly at $13.8875 per piece. This has been corrected to $13.7750 per piece. AG-CH-0034 Hides, butt branded steers, regular-weight, $/piece was published incorrectly at $11.00-18.00 per piece. This has been corrected to $11.50-18.00 per piece. AG-CH-0032 Hides, butt branded steers, light-weight, $/piece was published incorrectly at $12.00-19.50 […]