Recycled and scrap aluminium demand surges amid tight primary metal supply – 02 November 2025

Growing global emphasis on sustainability and recycling is pushing scrap-aluminium into a more strategic position, as businesses increasingly turn to recycled metal amidst primary supply constraints. The Financial Express+1

“India must respond, not with blanket protectionism, but with smart regulation. A quality firewall is essential to prevent substandard scrap from undermining domestic capabilities and sustainability goals,” an official said.

Sumit Jhunjhunwala, Vice President, ICRA said, “While India is a net exporter of primary aluminium, imports predominantly comprise aluminium scrap.

The strengthening of the domestic scrap ecosystem would be a prerequisite to reduce the import dependence over the medium term.”

The ongoing and planned investments in domestic aluminium capacity are expected to take India’s primary aluminium production capacity to 7.2 MTPA by FY30 and around nine MTPA by FY33 from around 4.2 MTPA now, as per Aluminium Vision Document, released by the Ministry of Mines, earlier this year.

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