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Rio Tinto Alcan to raise billet prices

Keywords: Tags  Rio Tinto Alcan, price increase, 6063, extrusion billet, premiums, freight, cut-length, alloy small-diameter billet

CHICAGO — Rio Tinto Alcan Inc. plans to increase base prices on 6063 extrusion billet by 2 cents per pound on new business placed for shipment by Jan. 1, it said in a letter to customers.

The Montreal-based aluminum producer also said adjustments will be made to some freight, cut length and billet alloy premiums, primarily for 1000- and 3000-series material.

In addition, Rio Tinto Alcan plans to boost premiums on small-diameter billet—with a diameter of 6 inches or less—because of a "new business model" at its casthouse in Shawinigan, Quebec.

The casthouse, which makes small-diameter billet, is expected to continue operating despite Rio Tinto Alcan announcing that its Shawinigan smelter will be shut down. Instead of receiving liquid metal from a smelter, the facility will operate as a remelter (, Aug. 20).


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