Japanese rolling mill settles Q3 MJP at $405/t

A large Japanese rolling mill and a major producer have concluded a deal for third-quarter delivery of aluminium at $405 per tonne cif basis, a source at the company told Metal Bulletin on Thursday June 26.

The deal was done for delivery of over 1,000 tonnes of aluminium per month from July to September, he said. The company and other traders earlier settled third-quarter Main Japan Port (MJP) premiums with BHP Billiton at $400 per tonne on cif basis.  “In 2014 our premium budget was $250-300 [per tonne] but now premium is $400 [per tonne], bringing a loss of $100 per tonne,” he said, adding, “[Our] proft margins [are] squeezed and this is a big problem.” The rolling mill was able to pass on the high premiums to end users...

Published

Shivani Singh

June 26, 2014

08:28 GMT

Singapore