US Midwest premium highest since 2015
- US Midwest premium passes six-year high
- European duty-paid premiums rise in liquid markets
- High freight rates drive premiums up again in South Korea.
Fastmarkets assessed the aluminium P1020A premium, ddp Midwest US
, at 22.5-23.5 cents per lb on Tuesday, up by 0.5 cents per lb from 22-23 cents per lb, where it had remained for two weeks.
The premium was now at its highest since February 24, 2015, when it was 23.75-24.00 cents per lb.
The previous range of 22-23 cents per lb was already a multi-year high, and same range it showed in April 2018, when the introduction by the US government of Section 232 tariffs and sanctions against UC Rusal inflated the premium.
Rather than any one disruptive event, the premium has been on an upward journey because of market fundamentals, with supply dwindling to meager volumes...