India’s aluminium extrusion sector is seeing a steep slowdown, with production levels falling sharply due to ongoing disruptions linked to the West Asia crisis.
Industry body Aluminium Extrusion Manufacturers Association of India said monthly output has nearly halved, dropping from around 100,000 tonnes to roughly 50,000-60,000 tonnes. On an annual basis, the sector had been operating at about 1.2-1.3 million tonnes, indicating a significant pullback in activity.
According to ALEMAI Secretary Ankur Aggarwal, production cuts are directly linked to supply bottlenecks and fuel shortages. A large share of raw materials, close to 50 per cent, typically sourced from West Asia is currently stuck, as container unloading at ports in the region has come to a standstill, he said.
That disruption has also pushed up costs. Conversion expenses have risen by around 25 per cent, largely due to higher energy prices and limited fuel availability.
The pressure is visible across operations. Aggarwal noted that roughly 100-125 extrusion units are currently operating at just 30-35 per cent capacity, as both raw material flows and fuel supply remain inconsistent. While some supply has returned over the past few days, availability is still only at 40-50 per cent, leaving plants running at reduced capacity.
ALEMAI President Jitendra Chopra said the slowdown extends beyond extrusion, with India’s midstream and downstream aluminium segments facing a broader contraction of 40-50 per cent. This comes despite the sector having an installed capacity of about 4.2 million tonnes, much of which is currently underutilise, he noted.
On the policy side, Jitin Prasada acknowledged that the West Asia situation is affecting global trade and supply chains, including India. He said the government is holding daily inter-ministerial meetings to assess the impact and address operational challenges faced by the sector.