Indian ADC 12 Prices Mixed: Delhi Down, Mumbai Steady Amid Weaker LME Aluminium

ADC 12 Aluminium: Indian ADC 12 prices showed mixed trends this week, with Delhi prices easing while Mumbai prices remained stable. In Delhi, prices declined to Rs 308,500/mt, from Rs 309,000/mt a week earlier, as market participants anticipated a lower procurement price from a major automotive OEM in northern India. The OEM is estimated to purchase around 12,000 mt of ADC 12 per month. Participants said that if the OEM lowers its procurement price below the current market range, smaller downstream producers are likely to prefer purchasing at lower levels, potentially putting further pressure on Delhi prices. Delhi traders also reported relatively stable scrap supply conditions.

In Mumbai, producers quoted ADC 12 at Rs 310,000–312,000/mt, with an average of Rs 311,000/mt, unchanged from the previous week, as downstream producers restocked ahead of the festive season.

On the export front, Indian ADC 12 offers to Japan were heard at $3,100–3,125/mt, compared with $3,110–3,125/mt a week earlier. However, market participants reported no apparent enthusiasm from Japanese buyers, with buying interest remaining limited at current offer levels. The China-origin ADC 12 CIF Japan assessment stood at $3,090–3,110/mt, averaging $3,100/mt, unchanged from the previous day.

Regional daily assessments were broadly aligned with Indian export offers. On September 17, Thailand FOB ADC 12 and Malaysia FOB ADC 12 were both assessed at $3,115/mt, while Indian offers to Japan were heard at $3,100–3,125/mt. The China-origin ADC 12 CIF Japan assessment was lower at $3,090–3,110/mt, averaging $3,100/mt. This placed Indian offers broadly in line with Thailand and Malaysia FOB levels, while China-origin material delivered to Japan was slightly lower.

Meanwhile, the underlying aluminium market weakened, with LME three-month aluminium declining from $3,357/mt on September 11 to $3,269/mt on September 16, adding downward pressure to ADC 12 prices. Despite the decline in LME aluminium, Indian ADC 12 prices remained relatively resilient, supported by domestic restocking ahead of the festive season and stable scrap supply conditions.