India’s aluminium market is expected to record stronger demand in the second quarter of FY2026-27, with consumption estimated to reach 1.735 million tonnes, a 6 per cent increase from the corresponding period last year, according to Hindalco Industries Ltd. Growth is being driven primarily by demand from the automotive and electrical sectors, highlighting the expanding role of aluminium across key industrial applications.
Hindalco’s Q2 FY2027 presentation estimates Indian aluminium demand at 1.735 million tonnes, compared with 1.643 million tonnes in Q2 FY2026. The latest estimate also represents a recovery from the 1.427 million tonnes recorded in Q1 FY2027.
Domestic aluminium supply and imports increase
Domestic primary aluminium supply is estimated at 735,000 tonnes in Q2 FY2027, compared with 669,000 tonnes in the corresponding quarter last year. This makes domestic production the largest individual supply category in Hindalco’s market assessment.
Scrap imports are expected to reach 556,000 tonnes, while other aluminium imports are estimated at 444,000 tonnes. Together, these imported categories account for approximately one million tonnes of the projected market supply.
The increase in domestic primary aluminium supply reflects a rise from the previous year’s level, while scrap imports have also recorded growth. Other imports, meanwhile, remain broadly in line with the year-earlier quarter.