India’s aluminium industry is urging the government to increase import duties on aluminium products to strengthen domestic manufacturing and reduce reliance on imports. Industry stakeholders argue that higher import tariffs will not only protect local manufacturers from underpricing by foreign competitors but also foster self-reliance in a strategically significant sector.
Currently, India imports a substantial portion of its aluminium requirements, particularly from countries like China and the Middle East, where manufacturers benefit from government subsidies. These imports often undermine the competitiveness of Indian producers, who face higher production costs due to elevated energy prices and raw material expenses.
The Aluminium Association of India (AAI) has proposed an increase in basic customs duty from 10% to 15% for primary aluminium and aluminium scrap. They believe this measure would incentivize local production, safeguard jobs, and contribute to the government’s vision of making India a global manufacturing hub under the “Atmanirbhar Bharat” initiative.
The industry also seeks additional support through reduced energy tariffs and incentives for technology upgrades to make domestic production more cost-effective and sustainable. With the government’s intervention, the aluminium sector hopes to unlock its full potential and play a pivotal role in India’s economic growth.
