Hindalco Industries back-to-back cuts aluminium ingot price by INR2500/t as LME records 5-month low

Hindalco Industries Limited has further trimmed its aluminium ingot and aluminium products prices, following a major cut on the preceding day, May 10. As per the revised prices revealed on May 11, Hindalco has cut its aluminium ingot price by INR 2,500 per tonne to INR 239,750 per tonne. On Tuesday, May 10, the price stood at INR 242,250 per tonne, seeing a slash of INR 8,500 per tonne.

Hindalco back-to-back cuts its aluminium prices in response to the lowest LME aluminium price in five-month time. On Tuesday, May 10, the LME aluminium benchmark price declined by US$33 per tonne from the previous day to US$2,677 per tonne as funds were being bet on lower prices due to decreasing demand. On a month-on-month calculation, the price stood around 17 per cent down from US$3,234.50 per tonne.

Hindalco’s aluminium wire rod price has also seen a cut of INR 2,500 per tonne on Wednesday, May 11, to stand at INR 250,850 per tonne. Aluminium billets price has come in at INR 253,850 per tonne versus INR 256,350 per tonne on May 10.

Aluminium operations of the company, excluding those of its US arm Novelis Inc., generally account for nearly half of its total sales and 70% of its operating profit.