Without any real price movement, aluminum’s week was mostly about the shift many automakers are making from steel to aluminum bodies to create overall lighter vehicles and car fleets to meet tougher government standards. Ducker Worldwide estimated that 18% of all cars will have aluminum bodies by 2025 while Asian automakers continued to stick with lightweight steel despite aluminum experiments.
Meanwhile, Novelis and Alcoa, after years of courting GM and Ford, found themselves dealing with competition from smaller aluminum smelters vying to supply all that automotive metal, too.
The week’s biggest mover on the weekly Aluminum MMI® was the Chinese aluminum cash price, which saw a 1.1 percent decline to CNY 13,220 ($2,122) per metric ton. This comes on the heels of a 1.4 percent increase the week before. At CNY 14,200 ($2,279) per metric ton, the week finished with no movement for Chinese aluminum bar. Chinese aluminum billet traded sideways last week, hovering around CNY 13,590 ($2,181) per metric ton. Prices for Chinese aluminum scrap remained constant, closing the week at CNY 12,250 ($1,966) per metric ton.
At INR 111.40 ($1.86) per kilogram, the Indian aluminum cash price finished the week 0.7 percent higher. Following a 2.2 percent increase in the week prior, the primary aluminum cash price fell 0.4 percent on the LME last week to $1,828 per metric ton. The aluminum 3-month price fell 0.1 percent on the LME to $1,869 per metric ton after rising 2.7 percent the week before.
At KRW 3,740 ($3.67) per kilogram, the price of Korean 3003 coil premium over 1050 sheet did not change since the previous week. Closing at KRW 3,890 ($3.82) per kilogram, Korean 5052 coil premium over 1050 sheet remained unchanged for the week. European 5083 plate remained essentially flat from the previous week at EUR 2,532 ($3,459) per metric ton. European 1050 aluminum prices held steady from the previous week at EUR 2,139 ($2,922) per metric ton.
The Aluminum MMI® collects and weights 12 global aluminum price points to provide a unique view into aluminum price trends. For more information on the Aluminum MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.