The US Midwest aluminium premium has slipped at the start of this week, with market participants noting that discounting off of published premiums is becoming more widespread among parties trying to make spot deals.
American Metal Market's assessment of the US Midwest aluminium spot premium was at 21.75-22 cents per lb on Tuesday June 12, down from 22-22.25 cents per lb on Friday. The premium is now at its lowest level since late May, when it was assessed at 21.25-21.75 cents per lb. The premium had subsequently risen to 21.5-22.5 cents per lb on the back of Section 232 tariffs being implemented against aluminium imports from the European Union, Canada and Mexico. Various factors are causing signs of weakness in the premium , the most prominent being the beginning of a summer slowdown combined with a pool of buyers waiting for clarity to return to...