India's Aluminum Price Sees 3% Rise, with Average of $2,451 per Ton

India Aluminum Export Price in November 2022

In November 2022, the aluminum price amounted to $2,451 per ton (FOB, India), rising by 2.8% against the previous month. In general, the export price, however, showed a slight reduction. The most prominent rate of growth was recorded in March 2022 when the average export price increased by 12% against the previous month. The export price peaked at $3,646 per ton in April 2022; however, from May 2022 to November 2022, the export prices remained at a lower figure.

Average prices varied noticeably for the major overseas markets. In November 2022, the highest price was recorded for prices to Mexico ($2,675 per ton) and the United States ($2,631 per ton), while the average price for exports to Japan ($2,206 per ton) and Thailand ($2,356 per ton) were amongst the lowest.

From January 2022 to November 2022, the most notable rate of growth in terms of prices was recorded for supplies to China (-0.3%), while the prices for the other major destinations experienced a decline.

India Aluminum Export Prices by Type

Average prices varied noticeably for the major types of exported product. In November 2022, the product with the highest price was aluminum (unwrought, not alloyed) ($2,451 per ton), while the average price for exports of unwrought aluminium alloys amounted to $2,450 per ton.

From January 2022 to November 2022, the most notable rate of growth in terms of prices was recorded for the following types: aluminium (-1.9%).

India Aluminum Exports

In November 2022, aluminum exports from India declined to 168K tons, shrinking by -7.9% compared with October 2022 figures. In general, exports saw a noticeable reduction. The growth pace was the most rapid in February 2022 with an increase of 16% against the previous month. As a result, the exports attained the peak of 279K tons. From March 2022 to November 2022, the growth of the exports remained at a lower figure.

In value terms, aluminum exports reduced to $413M (IndexBox estimates) in November 2022. Over the period under review, exports showed a deep setback. The growth pace was the most rapid in February 2022 when exports increased by 21% m-o-m. Over the period under review, the exports hit record highs at 941K tons in March 2022; however, from April 2022 to November 2022, the exports stood at a somewhat lower figure.

India Aluminum Exports by Type

Aluminum (unwrought, not alloyed) (144K tons) was the largest type of aluminum exported from India, accounting for a 86% share of total exports. Moreover, aluminum (unwrought, not alloyed) exceeded the volume of the second product type, unwrought aluminium alloys (24K tons), sixfold.

From January 2022 to November 2022, the average monthly rate of growth in terms of the volume of export of aluminum (unwrought, not alloyed) was relatively modest.

In value terms, aluminum (unwrought, not alloyed) ($354M) remains the largest type of aluminum exported from India, comprising 86% of total exports. The second position in the ranking was held by unwrought aluminium alloys ($59M), with a 14% share of total exports.

From January 2022 to November 2022, the average monthly growth rate of the export volume of aluminum (unwrought, not alloyed) stood at -2.6%.

India Aluminum Exports by Country

Malaysia (31K tons), South Korea (25K tons) and China (19K tons) were the main destinations of aluminum exports from India, with a combined 45% share of total exports. These countries were followed by Italy, Vietnam, Japan, Thailand, Belgium, Turkey, Taiwan (Chinese), Mexico, the United States and the Netherlands, which together accounted for a further 45%.

From January 2022 to November 2022, the biggest increases were in Italy (with a CAGR of +21.0%), while shipments for the other leaders experienced more modest paces of growth.

In value terms, the largest markets for aluminum exported from India were Malaysia ($78M), South Korea ($60M) and Italy ($47M), with a combined 45% share of total exports.

Italy, with a CAGR of +18.2%, recorded the highest growth rate of the value of exports, in terms of the main countries of destination over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Factors Affecting Aluminum Price Growth

This increase has been due to a variety of factors, including supply chain disruptions, rising demand, and geopolitical tensions. The volatility of aluminum prices has created significant uncertainty in the industry, making it difficult for businesses to plan effectively. As the global economy continues to recover, it remains to be seen whether these fluctuations will continue, or if the market will stabilize over time.

Source: IndexBox Market Intelligence Platform