05 Jul 2023 | 19:56 UTC

Platts consolidates US pure magnesium prices, revises secondary alloy specifications

Platts, part of S&P Global Commodity Insights, has consolidated its US assessments for minimum 99.8% pure magnesium, effective July 5.

Under this consolidation, Platts has discontinued its US Spot Western assessment (MMAHM00) and renamed the US Dealer Import assessment (MMAHQ00) to "Magnesium 99.8% DDP US."

The changes were first proposed Dec. 16, in a subscriber note available here.

Platts communicated its decision to implement the proposed changes on March 3, with a revised effective date and dimension specifications following market feedback. The decision note can be found here.

The consolidation and specification changes reflect changes to US magnesium market supply and trade flow. Platts has observed magnesium imports from various origins accounting for a greater percentage of US supply.

Specifications for MMAHQ00 have been revised as follows:

Previous Specification New Specification
Assessment Magnesium US Dealer Import Magnesium 99.8% DDP US
Symbol MMAHQ00 MMAHQ00
Published Wednesdays Wednesdays
Origin Typically non-western Any origin
Quality Minimum 99.8% pure, non-oxidized Minimum 99.8% pure, non-oxidized; ASTM Grade 9980A
Quantity Minimum full 40,000 lb truckload Minimum full 40,000 lb truckload
Dimensions Ingots, sow or T-bars Normalized to ingots
Incoterms and location Duty paid, delivery US customer works DDP US customer works
Timing Delivery within 30 days Delivery within 30 days
Payment Net 30 days Net 30 days
UOM cents/lb cents/lb

Platts has also renamed its Magnesium US Die Cast Alloy Transaction assessment (MMAHR00) "Magnesium 93% Alloy DDP US" to revise the assessment scope and account for more aluminum users participating in purchases of secondary magnesium alloys, in addition to traditional diecasters purchasing automotive-qualified material, effective July 5.

Platts has changed the specifications for MMAHR00 to align with aluminum-user industry standards, moving to Mg basis 93% content from 91%-95% currently.

In response to market feedback, Platts has reviewed the quality and dimension specifications and made changes from the original proposal.

Specifications for MMAHR00 have been revised as follows:

Previous Specification New Specification
Assessment Magnesium US Die Cast Alloy Transaction Magnesium 93% Alloy DDP US
Symbol MMAHR00 MMAHR00
Published Wednesdays Wednesdays
Origin Any origin, primary or secondary Any origin, primary or secondary
Quality 91%-95% magnesium; AZ91D, AM50, AM60 on-spec diecast alloys Normalized to 93% magnesium; AM50A, AM60B meeting aluminum user specifications
Quality specifications 91%-95% Mg, 4.2%-9.7% Al, 0.15%-1.0% max Zn, 0.1%-0.2% max Si Basis 93% Mg, 4%-7% Al, 0.3% max Zn, 0.1% max Si, 0.0005% max Be
Quantity Minimum full 40,000 lb truckload Minimum full 40,000 lb truckload
Dimensions Ingots, sow or T-bars Normalized to ingots
Incoterms and location Delivered, duty paid US diecaster works DDP US customer works
Timing Delivery within 30 days Delivery within 30 days
Payment Net 30-60 days Net 30-60 days
UOM cents/lb cents/lb

The assessments are published in Platts Metals Daily, Platts Metals Week Supplement and Platts Metals Alert on fixed page PMA 0368, and in Platts Market Data category LM under the above-mentioned symbols.

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