NEW YORK General Motors
Co. continues to pursue a 2013 contract that utilizes the North
American special aluminum alloy contract (Nasaac) despite many
alloy producers refusing to incorporate the contract into their
pricing for next year, secondary aluminum sources told
The contract standoff between
secondary aluminum producers and GM has yet to be resolved
despite the approach of the holiday season, sources said.
"As far as GM goes, I dont
think theyve made any decision about Nasaac. Usually
its not this late. ... Id say theyre waiting.
They like Nasaac because theyre buying it cheap," one die
"GM is still saying youve
got to quote Nasaac. Well see who blinks first. Either GM
will run out of metal or the people who rely on GM will run out
of business," an alloy producer added.
A spokesman for Detroit-based GM
declined to comment on the negotiations.
Secondary aluminum producers
have reported their dissatisfaction with Nasaac throughout
2012, with several saying they wouldnt use Nasaac-based
pricing for the coming year (
amm.com, Sept. 14).
Aleris International Inc.
announced in October that it would discontinue using Nasaac in
its pricing formulas due to a disconnect with the underlying
cost of raw materials (
amm.com, Oct. 9).