Casting aluminum bar prices go up

BEIJING (Asian Metal) 30 Mar 09 – The aluminum ingot price rebounded greatly late last week due to tight supply in domestic market. Casting aluminum bar producers raised their offers accordingly so as to meet the production cost.Asian Metal Copyright “Consumers are hesitant to place orders with us, especially when the price increases greatly,” said the source, adding that they received no order from consumers late last week.Asian Metal Copyright However, the market remained inactive.Asian Metal Copyright However, as the demand from consumers is inactive and the supply of aluminum liquid is tight, they restrain the output of casting aluminum bar and focus on processing some other aluminum products.Asian Metal Copyright The production of casting aluminum bar has not resumed so far in many plants.Asian Metal Copyright”.Asian Metal Copyright

A source from a Shandong-based aluminum plant disclosed that the current output of casting aluminum bar is around 1,000tpm currently. “The full capacity for casting aluminum bar can reach 4,000tpm,” said the source.Asian Metal Copyright However, the market remained inactive.Asian Metal Copyright However, as the demand from consumers is inactive and the supply of aluminum liquid is tight, they restrain the output of casting aluminum bar and focus on processing some other aluminum products.Asian Metal CopyrightBEIJING Asian Metal 30 Mar 09 – The aluminum ingot price rebounded greatly late last week due to tight supply in domestic market.Asian Metal Copyright

“We hold no stock on hand now, and do not arrange production until we receive orders from customers,” said the source, indicating that the demand from consumers for the product is not very active.

The source offered RMB14,370/t (USD2,104/t) ex works VAT included for 6063 casting aluminum bar with the diameter of 120mm processed from aluminum liquid last Friday, up by RMB430/t (USD63/t) compared to the day before. “Consumers are hesitant to place orders with us, especially when the price increases greatly,” said the source, adding that they received no order from consumers late last week.Asian Metal Copyright Some of them choose to watch the market and are not in a hurry to conclude any deals,” said the source.Asian Metal Copyright “In fact, we are a little bit reluctant to produce casting aluminum bar as the profit margin is limited,” the insider revealed, adding that the output of casting aluminum bar is predicted not to increase soon.Asian Metal Copyright However, as the demand from consumers is inactive and the supply of aluminum liquid is tight, they restrain the output of casting aluminum bar and focus on processing some other aluminum products.Asian Metal Copyright

With the capacity of 2,000tpm, a source from a casting aluminum bar plant in Henan told Asian Metal that they still do not produce casting aluminum bar but aluminum busbar now. “The profit is limited for casting aluminum bar production,” said the source. He disclosed that the price for 6063 casting aluminum bar was around RMB14,320-14,370/t (USD2,097-2,104/t) ex works VAT included in the local market.Asian Metal Copyright “We hold no stock on hand now, and do not arrange production until we receive orders from customers,” said the source, indicating that the demand from consumers for the product is not very active.Asian Metal Copyright “The sales condition is not very good at present and the market is predicted not to boom up in the short term,” said the insider.Asian Metal Copyright “The profit is limited for casting aluminum bar production,” said the source.Asian Metal Copyright

The source disclosed that they have to adjust up the offers for downstream products accordingly though the range is very wide. “The price increases too fast that some consumers cannot bear it.Asian Metal Copyright”.Asian Metal Copyright Some of them choose to watch the market and are not in a hurry to conclude any deals,” said the source.Asian Metal Copyright “The full capacity for casting aluminum bar can reach 4,000tpm,” said the source.Asian Metal Copyright “What we can do is to control the stocks at low levels.”