HARBOR ANNOUNCES: NEW! US 6063 Billet, Foundry Alloy (A356.2), and Slab Green/Low-Carbon Aluminum Upcharge
ANNOUNCEMENT.
HARBOR is pleased to announce the official launch of HARBOR’s GREEN/LOW-CARBON ALUMINUM US BILLET 6063, US PRIMARY FOUNDRY ALLOY (A356.2), and US SLAB (1XXX, 3XXX, and 5XXX) PREMIUM ASSESSMENTS.
Although US market interest and demand for GREEN/LOW-CARBON ALUMINUM lags that of Europe, sustainability has become without a doubt a driving force in the US aluminum market. In this context, and given HARBOR Aluminum Pricing Unit’s mission of providing the aluminum market with technically robust and market representative price assessments, we are glad to announce the launch of the following new US product premium assessments:
- HARBOR’s US BILLET 6063 SPOT GREEN/LOW-CARBON ALUMINUM UPCHARGE,
- HARBOR’s US BILLET 6063 ANNUAL GREEN/LOW-CARBON ALUMINUM UPCHARGE,
- HARBOR’s US PRIMARY FOUNDRY ALLOY (A356.2) SPOT GREEN/LOW CARBON ALUMINUM UPCHARGE,
- HARBOR’s US PRIMARY FOUNDRY ALLOY (A356.2) ANNUAL GREEN/LOW CARBON ALUMINUM UPCHARGE,
- HARBOR’s US SLAB (1XXX, 3XXX, and 5XXX SERIES) ANNUAL GREEN/LOW CARBON ALUMINUM UPCHARGE.
MARKET BACKGROUND.
According to HARBOR’s estimates, the worldwide primary aluminum industry operated in 2020 with an average carbon footprint of 11.2 kg of CO2 emitted per kg of primary aluminum produced with Level 1 disclosure, calculations per IAI’s “Aluminium Carbon Footprint Technical Support Document (2018)”. Level 1 only includes smelter emissions scope 1 and 2 (including anode production and casting operations) and does not include alumina refining and bauxite mining emissions scope 1 and 2. Green/Low Carbon Aluminum is considered by HARBOR to be produced with 4.0 or less kg of CO2 emitted per kg of primary aluminum produced.
HARBOR’s US BILLET 6063 SPOT GREEN/LOW-CARBON ALUMINUM
Standard Specification: Daily upcharge paid over the HARBOR’s US Billet Premium for spot physical alloy 6063 billet logs of 7-9-inch diameter, produced with 4.0 kg or less of CO2 emitted per kg of aluminum, calculations according to Level 1 disclosure per IAI’s “Aluminium Carbon Footprint Technical Support Document (2018)”. Level 1 only includes smelter emissions scope 1 and 2 (including anode production and casting operations) and does not include alumina refining and bauxite mining emissions scope 1 and 2.
Product traceable to a single smelter, delivered to US consumer plant, on transactions between consumers and suppliers for volumes of 100 mton or higher, arrival within 7-30 days, net-30-day credit terms and standard credit risk.
Upcharge will reflect physical spot transactions where reported buyers and sellers are both considered not to have a conflict of interest, using a representative sample of end-users, producers and traders.
The range assessment reflects the most tradable and repeatable upcharge prevailing throughout the US at the close of business, after 3:00pm US Central time.
HARBOR’s US BILLET 6063 ANNUAL GREEN/LOW-CARBON ALUMINUM
Standard Specification: Annual contractual upcharge paid over HARBOR’s US Billet Annual Contract Premium for physical alloy 6063 billet logs of 7-9-inch diameter, to be delivered throughout a calendar year, produced with 4.0 kg or less of CO2 emitted per kg of aluminum, calculations according to Level 1 disclosure per IAI’s “Aluminium Carbon Footprint Technical Support Document (2018)”. Level 1 only includes smelter emissions scope 1 and 2 (including anode production and casting operations) and does not include alumina refining and bauxite mining emissions scope 1 and 2.
Product traceable to a single smelter, delivered to US consumer plant, on transactions between consumers and suppliers for more than 1,000 mton or higher of monthly deliveries within the contractual period, net-30-day credit terms and standard credit risk.
Upcharge will reflect physical spot transactions where reported buyers and sellers are both considered not to have a conflict of interest, using a representative sample of end-users, producers and traders.
The range assessment reflects the most tradable and repeatable upcharge prevailing throughout the US at the close of business, after 3:00pm US Central time.
HARBOR’s US PRIMARY FOUNDRY ALLOY (A356.2) SPOT GREEN/LOW-CARBON ALUMINUM
Standard Specification: Spot upcharge paid over HARBOR’s US PFA small/tee ingot (A356.2) spot premium, for physical Primary Foundry Alloy A356.2 small/tee ingots, produced with 4.0 kg or less of CO2 emitted per kg of aluminum, calculations according to Level 1 disclosure per IAI’s “Aluminium Carbon Footprint Technical Support Document (2018)”. Level 1 only includes smelter emissions scope 1 and 2 (including anode production and casting operations) and does not include alumina refining and bauxite mining emissions scope 1 and 2.
Product traceable to a single smelter, delivered to US consumer plant, on transactions between consumers and suppliers for more than 100 mton or higher, net-30-day credit terms and standard credit risk.
Upcharge will reflect physical spot transactions where reported buyers and sellers are both considered not to have a conflict of interest, using a representative sample of end-users, producers and traders.
The range assessment reflects the most tradable and repeatable upcharge prevailing throughout the US at the close of business, after 3:00pm US Central time.
HARBOR’s US PRIMARY FOUNDRY ALLOY (A356.2) ANNUAL GREEN/LOW-CARBON ALUMINUM UPCHARGE
Standard Specification: Annual contractual upcharge paid over HARBOR’s US PFA small/tee ingot (A356.2) spot premium, for physical Primary Foundry Alloy A356.2 small/tee ingots to be delivered throughout a calendar year, and produced with 4.0 kg or less of CO2 emitted per kg of aluminum, calculations according to Level 1 disclosure per IAI’s “Aluminium Carbon Footprint Technical Support Document (2018)”. Level 1 only includes smelter emissions scope 1 and 2 (including anode production and casting operations) and does not include alumina refining and bauxite mining emissions scope 1 and 2.
Product traceable to a single smelter, delivered to US consumer plant, on transactions between consumers and suppliers for more than 1,000 mton or higher of monthly deliveries within the contractual period, net-30-day credit terms and standard credit risk.
Upcharge will reflect physical contractual transactions where reported buyers and sellers are both considered not to have a conflict of interest, using a representative sample of end-users, producers and traders.
The range assessment reflects the most tradable and repeatable upcharge prevailing throughout the US at the close of business, after 3:00pm US Central time.
HARBOR’s US SLAB (1XXX, 3XXX, and 5XXX SERIES) ANNUAL GREEN/LOW-CARBON ALUMINUM UPCHARGE
Standard Specification: Annual contractual upcharge paid over HARBOR’s Full US Slab price (US MW P1020 Premium + LME cash price for spot physical 99.7% high-grade aluminum + US Slab Spot Upcharge), for physical spot 1xxx, 3xxx, or 5xxx series slab to be delivered throughout a calendar year and produced with 4.0 kg or less of CO2 emitted per kg of aluminum, calculations according to Level 1 disclosure per IAI’s “Aluminium Carbon Footprint Technical Support Document (2018)”. Level 1 only includes smelter emissions scope 1 and 2 (including anode production and casting operations) and does not include alumina refining and bauxite mining emissions scope 1 and 2.
Product traceable to a single smelter, delivered to US consumer plant, on transactions between consumers and suppliers for more than 1,000 mton or higher of monthly deliveries within the contractual period, net-30-day credit terms and standard credit risk.
Upcharge will reflect physical contractual transactions where reported buyers and sellers are both considered not to have a conflict of interest, using a representative sample of end-users, producers and traders.
The range assessment reflects the most tradable and repeatable upcharge prevailing throughout the US at the close of business, after 3:00pm US Central time.