India

India has shown signs of slowing growth in recent quarters and yet remains one of the world’s fastest-growing major economies. The country faces uncertainty over trade relations with the USA, not least because of potential reciprocal tariffs.

On the supply side, HSBC India’s Manufacturing PMI for February of 56.3 was the lowest since December 2023, resulting from a slight slowdown in new orders and production. However, the manufacturing PMI is still signalling strong growth and a continued improvement in the sector’s overall health.

With regard to aluminium scrap, there is sufficient availability amid offers from non-US origins. Sea freight rates are falling and are predicted to go even lower, thereby reducing the cost of scrap imports. 

The high volume of copper imports recorded in the fourth quarter of 2024 reflects sustained industrial demand for the mix of semi-finished, scrap and finished copper products. Copper scrap imports for the last quarter made up a significant proportion of India’s inflows of the red metal, while the country’s imports of finished copper flat products have also been robust.