- Euro appreciation raises imports costs for EU
- Supply tightness stems from higher offers offers
India’s imported aluminium scrap prices saw mixed trends w-o-w due to strong demand in the global market amid fluctuating LME prices and supply tightness as participants await ADC price announcements.
The LME uncertainty is stemming from the ongoing geo political issues.
The supply tightness is on account of high export offers being quoted by major exporters like the US and the EU as their domestic demand remains high at this juncture.
BigMint assessed Tense scrap from the US at $1,950/t up by $10/t w-o-w, while Wheels from the UK were down by $20/t w-o-w to $2,450/t, both CFR west coast, India. At the time of reporting, LME aluminuim prices stood at $2,472/t.
Additionally, the Euro’s appreciation raised import costs for European scrap, prompting Indian buyers to explore alternatives like Zorba scrap, with deals heard at $2,150/t.
According to market participants, “Taint Tabor and extrusion 6063 for Middle East were heard traded in premiums due to material shortage even as buyers are giving higher prices to fulfill requirements.”
Domestic scrap prices up w-o-w
In the domestic market, Tense scrap prices in both Delhi and Chennai inched up by INR 1,000/t compared to last week. According to BigMint’s assessment, domestic Tense scrap stood at INR 195,000/t ex-Delhi-NCR and INR 196,000/t ex-Chennai.
Silicon price trends
According to BigMint’s assessment, silicon 553 prices from China were stable at $1,320/t CFR Mundra on a w-o-w basis.
Outlook
Market participants remain cautious and are awaiting further updates on scrap collection prices, as strong demand persists amid ongoing supply tightness and uncertainty in LME aluminium price trends.
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