Platts to launch US A356.2 aluminum alloy assessment

Platts, part of S&P Global Commodity Insights, will launch a new daily price assessment for the US A356.2 aluminum alloy market, effective Dec. 1, 2023.

Market participants have reported the use of A356.2 increasing significantly over the last year and Platts has observed this shift. A significant price divergence has emerged between the primary A356.2 alloy market and Platts existing secondary 356 alloy assessment (MMAAB00), and market feedback indicates that A356.2 is also considered a good tool to price other structural alloys, such as A365.

Based on typical trading patterns, A356.2 will be assessed as a differential to the Platts US Midwest Transaction price for P1020 aluminum (MMAAF10) and will include any adders or surcharges (e.g, silicon) that make up the total cost of the product. Market information on other 356 grades, such as A356.1, may be considered for publication and normalized for the assessment.

Platts first proposed to launch the assessment on Sept. 27 via a subscriber note available here.

Following feedback, Platts has amended the quality specifications from the original proposal to best align with the industry standard for A356.2 metallurgical chemistry.

Specifications regarding quality, quantity, dimensions, incoterms, location, timing, payment, and unit of measure will be as follows:

In addition to the US A356.2 aluminum alloy upcharge assessment, Platts will also publish an all-in value (AUMIB00) for A356.2 calculated from the sum of the upcharge and the US Midwest Transaction price (MMAAF10).

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

For written comments, please provide a clear indication if they 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.