Hindalco, Vedanta slashed their aluminium ingot prices by over 3% during May 10-12

Last week, both Hindalco and Vedanta back-to-back cut their aluminium prices on May 11 and 12 in response to the LME aluminium price fall of US$92 per tonne in just two days. However, the companies started the week on May 10 with a rise in their aluminium ingot prices by INR 3,000 per tonne and INR 4,500 per tonne, respectively, to INR 223,250 per tonne and INR 221,250-245,250 per tonne. Their aluminium wire rod and billet prices also experienced an increase of INR 3,000 per tonne and INR 4,500 per tonne, with effect from May 10, to stand at INR 235,250 per tonne and INR 229,750-237,250 per tonne.

On May 11, Hindalco and Vedanta reduced their aluminium ingot price by INR 4,000 per tonne to INR 219,250 per tonne and INR 217,250-241,250 per tonne, respectively. The next day, they further decreased their ingot price by INR 4,250 per tonne and INR 4,000 per tonne to INR 215,000 per tonne and INR 213,250-237,250 per tonne. Thus, Hindalco and Vedanta’s aluminium ingot price shrank by 8,250 per tonne or 3.7 per cent and INR 8,000 per tonne or 3.6 per cent through the week.

Hindalco’s aluminium wire rod price opened the week on May 10 at INR 235,250 per tonne and closed at INR 227,000 per tonne on May 12, reflecting a fall of INR 8,250 per tonne. During the same period, the company’s aluminium billet price slipped from INR 237,350 per tonne to INR 229,100 per tonne.

Vedanta’s aluminium wire rod price also suffered a loss of INR 8,000 per tonne last week from INR 229,750-237,250 per tonne on May 10 to INR 221750-229,250 per tonne on May 12. Vedanta’s billet price was shrunk from INR 230,250 per tonne to INR 222,250 per tonne.

The LME aluminium benchmark price plunged from US$2,321 per tonne to US$2,229 per tonne.