The weekly Davis Index for ADC 12 settled at Rs118,750/mt ex-works Delhi producer on Monday up by Rs2,583/mt ($34.50/mt) from the prior week driven by the demand from auto producers across India.
In July two-wheeler manufacturers increased production and in August, four-wheeler producers followed suit. Alloy manufacturers said that they are hopeful the demand for auto alloys will continue to surge. A major auto producer in North India is purchasing ADC12 alloys at Rs124,000-125,000/mt, up from Rs120,000/mt in the prior month. The auto producer has, however, not declared its purchase price for ADC 12 for the month.
The Davis Index for ADC 12 settled at Rs122,167/mt on Monday, ex-works Mumbai producer, up by Rs1,417/mt from the prior week. This was driven by an increase in the input cost as Tense import prices remained unchanged at Rs95,000/mt from the prior week, up from Rs90,000/mt two weeks ago.
The Weekly Davis Index for LM6 settled at Rs144,000/mt, down Rs240/mt($/mt) ex-works Mumbai producer.
Few alloy manufacturers offered to sell ADC 12 alloys at $1,525- 1,575/mt cfr China price, but Chinese counterparts refused to revise ADC 12 import rates upwards from $1,489/mt level. Manufacturers said with a revival of domestic demand, they are reluctant to export at lower rates.