EUROPEAN MORNING BRIEF 07/08: Alcoa files Section 232 exemption applications; tariffs threaten China’s lead concs imports; APT prices under pressure

Base metals prices on the Shanghai Futures Exchange were mostly up during morning trading on Tuesday, with nickel outperforming the rest of the complex with a gain of 1.7%.

Check Metal Bulletin’s live futures report here.

Global aluminium producer Alcoa has filed a number of product exclusion applications with the US Department of Commerce, requesting a one-year exemption from the country’s Section 232 tariffs on imports of certain primary aluminium alloyed slab produced in Canada.

China announced a 10% tariff on US lead ores and concentrates, which took up one-sixth of its imports last year, a move that could possibly exacerbate the tightness of lead raw material supply, according to a release by China’s Ministry of Finance last Friday.

Ample supply continued to push ammonium paratungstate prices down in the week ended Friday August 3 following the end of environmental-related suspensions in Jiangxi province.

The London Metal Exchange has approved the listing of an Edgemere Terminals warehouse in Baltimore, eight months after the company ceased operating in the United States, the LME said in a note to members on Monday August 6.

Low tenders from major Chinese mills for August production weighed on domestic and imported ferro-chrome prices over the week that ended on Friday August 3, while chrome ore inventories hit record highs.

Benchmark cobalt prices continued to fall last week, albeit at a slower pace than before, with sellers facing less urgent pressure to destock and spot trade returning to its slower summer pace.

Following extensive market engagement, Metal Bulletin has decided to extend the consultation period for the proposal to split Metal Bulletin’s 0.10% C low-carbon ferro-chrome Europe price specification to provide additional time for feedback.

Chinese ferro-silicon prices are holding ahead of an expected upturn in prices later this month on higher-priced tenders from steel mills, a jump in futures and reduced supplies from pollution controls, while the US and European markets keep steady.