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16 OCTOBER 2017 AL CIRCLE

Japan’s Sept aluminium stocks decline 2% MoM; Q4 premium down 21% from Q3

EDITED BY : DIPANWITA GUPTA 1MINS READ

Aluminium stocks at three major ports in Japan declined 2.4 per cent month-on-month to stand at 275,900 tonnes by September end, trading house Marubeni Corp reported on Monday. Marubeni collects stock related data from the ports of Yokohama, Nagoya and Osaka.

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Aluminium stocks (in tonnes) in the three major ports were as follows:

Port

Sept 2017

August 2017

Sept 2016

Yokohama

135,200

137,800

138,500

Nagoya

125,700

129,800

133,000

Osaka

15,000

15,000

15,000

Total

275,900

282,600

286,500

September 2017 aluminium stock is down by 3.69 per cent from the corresponding month previous year. The scenario is similar to the LME aluminium inventory levels where the stocks stand at all-time low supporting prices above US$2,125 per tonne.

In another update, Reuters reported Japanese aluminium buyers have agreed to pay up to 21 per cent less in import premiums in the October-December quarter reflecting a slide in spot premiums.

Aluminium premium was set at US$94 to US$95 per tonne for the light metal to be shipped in Q4, down 19.5 per cent to 21 per cent from US$118 to US$119 per tonne in the previous quarter, the sources said. The latest agreement marks a second straight quarterly decline.

Spot aluminium premiums have weakened in Japan amid increased supply in Asia despite the recent aluminium price rise and solid regional demand from the automobile sector.


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EDITED BY : DIPANWITA GUPTA 1MINS READ

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