Update to Fastmarkets aluminium methodology’s treatment of Russian brands

Fastmarkets is proposing to change its aluminium premiums methodology to reflect its decision to follow international sanction guidelines on the inclusion of brands.

As part of the ongoing open consultation regarding IOSCO-audited price assessments, Fastmarkets has engaged with the industry regarding its stance specifically on Russian material in its aluminium premiums methodology.

The current aluminium premiums methodology states: “Fastmarkets follows the guidance of the London Metal Exchange and its regulators regarding any suspensions or delisting of brands for political reasons or economic sanctions.”

But the methodology will be updated to reflect the decision that Fastmarkets will follow international sanctions in regard to suspending brands from its price reporting process.

This means that if the LME decides to ban Russian material without any international sanctions being imposed, Russian material will continue to be accepted into the price reporting process.

On October 6, the LME issued a discussion paper asking for market feedback on the ongoing acceptability of Russian metal brands on the exchange. The discussion paper is open until October 28.

Fastmarkets reviews all pricing data carefully to ensure that its price assessments reflect the “open and competitive” market level. Reporters therefore may apply expert judgment to exclude data deemed unrepresentative or unreliable prior to consideration of the final assessment.

This approach will be taken for all global aluminium premiums, including aluminium products and low-carbon aluminium.

The open consultation is open until October 28, 2022.

The change to the methodology will take effect from October 29, 2022.

To provide feedback on the aluminium methodology, or any IOSCO methodology, please contact pricing@fastmarkets.com. Please add the subject heading “FAO: Alice Mason, re: aluminium methodology.”

Please specify if your response is confidential. Opinions offered in confidential responses may be referenced but will not be attributed in any way.

What to read next
Fastmarkets proposes to discontinue foundry grade price assessments included in its Philadelphia consumer buying price series due to a lack of liquidity.
Fastmarkets proposes to launch a weekly steel hot-rolled coil index, fob mill South US to capture regional distinctions in the domestic hot-rolled coil market over time.
Fastmarkets is inviting feedback from the industry on the pricing methodology for low-carbon ferro-chrome in Europe, following preliminary discussions with the market.
Luxembourg-based recycler Befesa’s facility in Mooresboro, North Carolina, is the first in the world to manufacture special high-grade (SHG) zinc solely from recycled zinc
Lower aluminium premiums in Europe risk deterring imports amid falling freight rates, with some market participants now looking at the availability of material for 2023 in light of the various smelter cuts on the continent
Anglo American and Germany-based Aurubis have signed a memorandum of understanding (MoU) to jointly develop a solution that will ensure copper, a key commodity in energy transition, is traceable and sustainably produced, the London-based miner announced on Thursday, November 24
We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
Proceed