Platts clarifies treatment of Russian-origin material in global aluminum assessments

Following market consultation, Platts, part of S&P Global Commodity Insights, is clarifying the treatment of Russian-origin aluminum in its global aluminum spot price assessments.

Platts global aluminum assessments continue to reflect prevailing origin specifications, including Russian-origin material, subject to the price assessment principles outlined in its assessment methodology guide.

Platts opened a global aluminum consultation Nov. 9, 2022, seeking feedback on the consideration of Russian-origin material, in a subscriber note available here.

Based on feedback and comments received from market participants, Platts understands that while there is some voluntary restriction of Russian material in spot trading activity, Russian-origin material continues to be bought and sold in the global spot markets, in the absence of government sanctions, embargoes or other formal trade restrictions.

Platts has not observed a clear and consistent difference in value between market information that is open origin and market information that excludes Russian-origin material. In a situation where Platts receives bids or offers containing a specific origin exclusion, open-origin aluminum bids, offers and trades would typically take precedence.

Platts will continue to monitor closely changes in market flows and conditions, testing price information in the wider market in line with its assessment methodology. If any spot-market price differential is observed between origins, Platts may publish that differential for market comparison.

Platts continues to invite feedback regarding Russian-origin material.

The Platts Assessments Methodology Guide can be found here.

The full Global Nonferrous Metals methodology and specifications can be found here.

Please send all feedback, comments and questions to Platts_Aluminum@spglobal.com and pricegroup@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.