A producer and several Japanese buyers have agreed to set the fourth quarter premium for aluminum ingot imports into Japan at $95/mt plus London Metal Exchange cash, CIF Japan, down from $118-$119/mt CIF Japan for Q3, buyer and seller sources involved in the quarterly negotiations said Wednesday.
Two producers have offered at $100/mt plus LME cash CIF Japan and $110/mt plus LME cash CIF Japan, for Q4, in the first week of September, while a Japanese buyer counter-bid at $90/mt CIF Japan.
Two producers have yet to offer Q4 premiums to Japanese buyers, the buyers said. One producer told buyers he wanted to discuss market conditions with customers first before making a premium proposition, buyers added.
Japanese buyers typically wait for all four major suppliers to make their quarterly premium offers before placing counter-bids. In the Q4 talks, some buyers had proceeded with the negotiations without waiting.
The two producers, who have not made offers, could not be reached for comment.
