US secondary aluminum alloy prices increased across most grades Friday, as better global automotive demand created healthier conditions for secondary smelters.
The weekly Davis Index for A380.1 was rose to 73.9¢/lb delivered US consumer on Friday, increasing by 0.4¢/lb from last week.
The index for A360.1 climbed by 0.1¢/lb to 83.6¢/lb delivered US consumer, and A413.1 moved up by a penny to 85.5¢/lb delivered US consumers.
The three-month LME aluminum contract closed Friday at $1,785/mt, declining by $4/mt from $1,799/mt on September 4.
Secondary alloy demand has picked up in Asia, with China, Japan, and India driving demand for material. Automotive inventories are depleting across the globe, in part because the COVID-19 pandemic has dissuaded people from using public transportation and opting instead for personal vehicles. The automotive supply chain has doubtless benefited in the near term.