ALUMINIUM FOUNDRY WRAP: European premiums tumble; demand weakens

Aluminium foundry premiums in Europe and the United States were under pressure this month from weak demand in the automotive industry and aggressively low offers in the market.

The premium in Eastern Europe for silicon 7 aluminium wheels on a delivered duty-paid basis plummeted 9%, falling for the first time since February. Fastmarkets assessed the Eastern European premium at $390-440 per tonne on Friday November 9 down from $430-480 per tonne, with deals heard as low as $385 per tonne. “There are aggressively low offers in the market at the moment and it is weakening significantly. To get a good price for your foundry at the moment is very hard,” a trader said. The premium in Germany for silicon 7 aluminium wheel alloys declined to $390-430 per tonne on Friday from $410-450 per tonne previously over London Metal Exchange cash prices delivered to the Ruhr region with...

Published

Kirk Maltais

Alice Mason

November 12, 2018

10:00 GMT

London