Sheet aluminum prices to increase

Aluminum flat-rolled producers Alcoa and Novelis are seeking 2¢/lb price increases on their 1000, 3000 and 5000 series of aluminum alloy and non-heat-treated 6000 series of sheet products to all North American customers in the distribution, original equipment manufacturing (OEM) and building products markets. Purchasingdata.com price reports on common alloy sheet, grade 3003, show that transactions cost an average $2.04/lb so far this year, compared with $1.82 for all of 2006. The announced price increases are effective on all new orders booked on or after August 10 (Alcoa) or August 13 (Novelis) and scheduled for shipment on or after October 1. The producers say they are seeking to offset rising costs of energy in the smelting, rolling and transportation of their sheet products, as well as the higher costs of such key alloying materials as manganese, magnesium and silicon.