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Manufacturers in a position of strength to impose their prices

2022-06-22T18:00:29.854Z

Commercial discussions are in favor of suppliers. The aluminum arrives at the Constellium factory in Neuf-Brisach, in Alsace, in 60 cm thick plates. These plates are then rolled; they end up in sheets 250 microns thick for 10 km in length, then they are rolled into reels. Then they are sent to can manufacturers or car manufacturers. At around $2,500 per ton, 66% more than in May 2020. A very high price, but one that Constellium easily charges to



The aluminum arrives at the Constellium factory in Neuf-Brisach, in Alsace, in 60 cm thick plates.

These plates are then rolled;

they end up in sheets 250 microns thick for 10 km in length, then they are rolled into reels.

Then they are sent to can manufacturers or car manufacturers.

At around $2,500 per ton, 66% more than in May 2020. A very high price, but one that Constellium easily charges to its customers.

“The price at which we sell our coils is automatically correlated to the price of aluminum on the LME, the London market,”

explains Vital Beauvois, key account manager at Constellium.

This situation is the most comfortable for manufacturers.

"It is easy to use a benchmark to set the price, when this benchmark exists

," explains Olivier Wajnsztok, partner at AgileBuyer, purchasing consultant.

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This is the case with aluminium, for example, but also with nickel, copper, etc.

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Source: lefigaro

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