As rumors spread in the market that additional bankruptcy will continue, the spot offer price of European aluminum alloy was pushed higher this week.

Since oetinger, Germany's leading alloy manufacturer, suffered financial difficulties and filed for bankruptcy on June 27, the price of 226 aluminum alloy of German commodity grade, the main market in Europe, has risen 80 to 100 euros (105-131 US dollars) per metric ton.

Rumors that other producers in France, Spain, Italy and Eastern Europe are on the verge of bankruptcy have caused panic in the market. Because insurance companies have cut their credit lines, it is difficult to understand that some small-scale producers in southern Europe have difficulty collecting scrap aluminum. There was a rumor that a manufacturer in a trade department in Eastern Europe had gone bankrupt and that the 50000 ton plant was being sold, but officials denied the truth of the rumor.

Although most buyers were "stable" in August and September, some sellers said they had received a lot of inquiries for delivery in September and October.

One Indian producer said it would have more buyers in September. Some buyers have rejected the offer and are constantly haggling, but in any case, the price should not be less than 1800 euros per metric ton.

A German producer agrees that spot demand is slowing this week, but buyers are inquiring about prices in September and October, but he predicts that spot prices will rise to around 1850 euros per metric ton in September.