PRICING NOTICE: Launch of annual premiums for aluminium wheel alloy silicon 7 ingot cif Japan, cif South Korea

Metal Bulletin today launches two annual premium assessments for aluminium wheel alloy silicon 7 ingot cif Japan and aluminium wheel alloy silicon 7 ingot cif South Korea.

After a consultation period, Metal Bulletin has launched the assessments:
– Annual aluminium wheel alloy silicon 7 ingot cif main Japanese ports (Yokohama, Osaka, Nagoya)
– Annual aluminium wheel alloy silicon 7 ingot cif main South Korean ports (Busan, Gwangyang, Incheon)

Metal Bulletin is launching the annual premiums to complete the series of foundry alloy premiums Metal Bulletin already publishes for the rest of the world.

The Japan and South Korea markets are good representations for the foundry alloy markets in Asia given the size of their automotive industries and these markets being the largest importers of foundry alloys in Asia.

The premiums will be published after annual deals are completed between major buyers and international producers and traders. Negotiations typically start in October through to December.

These annual premiums will be assessed in place of weekly or monthly spot premiums due to a lack of liquidity in the spot market in the region. Market participants have indicated 95-100% of imported volumes are settled on an annual contract basis for both markets.

Foundry alloy is an important aluminium value-added product (VAP) for use in wheel alloys in the automotive industry. Metal Bulletin hopes to bring more transparency to the foundry alloy market as the global automotive sector continues to grow.

To provide feedback on this price or if you would like to provide price information by becoming a data submitter to this price, please contact Vivian Teo by email at: pricing@metalbulletin.com. Please add the subject heading FAO: Vivian Teo, re: Annual aluminium wheel alloy silicon 7 ingot cif main Japanese ports / Annual aluminium wheel alloy silicon 7 ingot cif main South Korean ports

To see all Metal Bulletin’s pricing methodology and specification documents go to https://www.metalbulletin.com/prices/pricing-methodology.html

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