S&P Global Platts proposes to add US 5052 new bare scrap price assessment

S&P Global Platts is soliciting feedback on a proposal to assess a new weekly spot price assessment reflecting US 5052 new bare scrap prices. Platts is accepting feedback on the proposal through June 20, 2019, and expects to launch the assessment on August 1, 2019.

The assessment would meet the following specifications: 5052 new bare scrap: The price for new, bare aluminum scrap meeting 5052 specification, to be assessed weekly as a discount or premium to the Platts US Midwest Aluminum Transaction price on the day of the assessment, weekly on Thursdays or the closest business day in the event of holidays. Platts will publish a weekly differential, in cents/lb, to the Platts Transaction price, as well as a daily calculated value of the outright price. The minimum thickness of .015” (.38 mm) and to be free of hair wire, wire screen, dirt and other non-metallic items. Oil and grease not to total more than 1%. Also free from punchings less than 1/2” (1.27 cm) in size, as per Institute of Scrap Recycling Specifications.

The price will be assessed in cents per pound, taking into account spreads, outright values and percentages of the Platts Transaction price, normalized to a spot business shipping within 30 days, delivered Midwest basis, net-30 day payment terms. The assessment will be based on a survey of scrap consumers, dealers, traders, brokers, and others active in the spot 5052 new bare market.

Minimum cargo sizes of 45,000 lb (one truckload) or more. Deals delivered to non-Midwestern locations could be normalized to a delivered Midwest basis.

Please send all questions and feedback to Karen.mcbeth@spglobal.com, rebecca.grenham@spglobal.com, Tina.allagh@spglobal.com, and Sarah.baltic@spglobal.com, copying pricegroup@spglobal.com by June 7, 2019.

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.