Aluminum alloy tags up; better margins sought

Feb 15, 2013 | 02:27 PM | Nathan Laliberte

Tags  aluminum scrap, aluminum, scrap, A380.1, A360, 356.1, 5052 segregated low-copper alloy clips, London Metal Exchange UBCs

NEW YORK — Free-market aluminum alloy prices rose Feb. 14, with some producers indicating that a supply crimp was looming if margins don’t improve.

"We are no longer going to produce alloy that doesn’t make money for us," one producer of A380.1 said. "There is no reason to produce for the auto industry if there is no margin. Ultimately, you will see the big boys shut furnaces down. People are not going to produce and lose money."

A380.1, which is used primarily in automotive production, rose to a price range of $1.04 to $1.06 per pound Feb. 14, up a penny from $1.04 to $1.05 Feb. 11.....

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