The Davis Index for A356 wheels (Troma), Friday, rose by $58mt from a week ago to settle at $1,413/mt cfr India port, while the index for 6063 extrusion scrap settled unchanged at $1,450/mt cfr India port on the back of stable demand from alloy and extrusion makers.
Many alloy makers actively bought scrap to meet rising demand from the auto sector.
Offer prices in India rose as buyers in other South Asian showed willingness to increase their purchase prices for aluminium scrap. Countries like Pakistan and Bangladesh are filling in the void left by Chinese buyers who have almost exhausted their import quotas.
The official three-month LME aluminium contract settled at $1,758.5/mt on Thursday, up by $39.5/mt or 2.29pc from a week ago.
The weekly Davis Index for Taint/Tabor settled at $1,093/mt cfr India, up by $6/mt while the index for Tense settled at $1,086/mt cfr India port, up by $54/mt.
Sale of secondary aluminium ingots to China has reduced and manufacturers focused on catering to the demand from the domestic auto sector. Demand for two and four-wheelers has improved in the last few days since most people preferred personal transport to keep COVID-19 at bay.
The weekly index for ADC 12 settled at $1,529/mt cfr China, up by $57/mt from a week ago as few Indian exporters raised their offers. Davis Index heard offers at $1,540- 1,575/mt cfr but these price levels were not confirmed by sellers.