India Aluminium Scrap HS7602 Import Data 2025 July Overview

India Aluminium Scrap (HS 7602) 2025 July Import: Key Takeaways

India’s Aluminium Scrap (HS Code 7602) imports in July 2025 reveal a market dominated by bulk, lower-grade shipments from the US, which supplies 18.33% of total weight but at a lower average price of $5.28/kg, while European suppliers like the UK and Germany offer higher-quality scrap at premium rates. The US, Saudi Arabia, and UAE form a bulk-supplier cluster, contrasting with Europe’s value-driven niche, suggesting buyers adopt a dual sourcing strategy—volume from bulk suppliers and quality from Europe. This analysis, covering July 2025, is based on cleanly processed Customs data from the yTrade database.

India Aluminium Scrap (HS 7602) 2025 July Import Background

What is HS Code 7602?

HS Code 7602 refers to aluminium waste and scrap, a critical raw material for India’s secondary aluminium production. This product is widely used in industries like automotive, construction, and packaging due to its cost-effectiveness and recyclability. Global demand remains stable, driven by sustainability trends and the need for energy-efficient manufacturing processes.

Current Context and Strategic Position

As of July 2025, India’s import policy for aluminium scrap (HS Code 7602) maintains a 2.5% basic customs duty, with additional levies pushing the effective rate to ~21.25% [Cybex]. Industry calls to align scrap duties with primary aluminium (10%) remain unresolved [Economic Times]. India’s reliance on imports, particularly from the U.S., underscores its strategic role in global scrap trade, necessitating close monitoring of policy shifts and compliance requirements.

India Aluminium Scrap (HS 7602) 2025 July Import: Trend Summary

Key Observations

In July 2025, India's import of Aluminium Scrap under HS Code 7602 reached $672.78 million in value and 113.38 million kg in volume, marking a significant monthly peak and reflecting strong import activity for the period.

Price and Volume Dynamics

The month-over-month growth from June to July shows a 29% increase in value and a 20% rise in volume, driven by typical mid-year industrial demand cycles where aluminium scrap imports often spike due to increased recycling and manufacturing activity. This upward trend from a lower base in early 2025 suggests sustained momentum, with July's figures highlighting robust procurement aligned with seasonal production needs.

External Context and Outlook

The stable import duty regime, with no major policy changes in July as confirmed by [Volza.com], provided a conducive environment for this growth. Ongoing industry discussions on potential duty adjustments, as noted in other sources, could impact future imports, but the current outlook for India Aluminium Scrap HS Code 7602 Import in 2025 July remains positive amid steady demand and regulatory consistency.

India Aluminium Scrap (HS 7602) 2025 July Import: HS Code Breakdown

Product Specialization and Concentration

According to yTrade data, the India Aluminium Scrap HS Code 7602 Import market in July 2025 is heavily concentrated in clean aluminium scrap under sub-code 76020010, which holds over 99% of the weight share. This grade commands a unit price of $5.93 per kilogram, slightly above the $5.50 for other scrap types, reinforcing its dominance and slight premium in the market.

Value-Chain Structure and Grade Analysis

The market splits into two main categories: clean aluminium scrap (76020010) and other waste and scrap (76020090), with the latter having a lower unit price of $5.50 per kilogram. This setup points to a trade in semi-fungible commodities where prices are tied to quality differences, rather than highly finished goods, with bulk handling common for both grades.

Strategic Implication and Pricing Power

Importers face strong pricing power from suppliers of clean scrap due to its market dominance, but cost risks exist from potential duty hikes, as industry discussions aim to increase basic customs duty on aluminium scrap to 10% [Economic Times]. Strategic focus should prioritize securing reliable clean scrap sources to mitigate price volatility.

Check Detailed HS 7602 Breakdown

India Aluminium Scrap (HS 7602) 2025 July Import: Market Concentration

Geographic Concentration and Dominant Role

The United States is the top supplier for India Aluminium Scrap HS Code 7602 Import 2025 July, accounting for 18.33% of the total weight. Its value share (14.58%) is lower than its weight share, indicating it supplies large volumes of lower-grade scrap at a lower average price of approximately $5.28/kg. This pattern is typical for bulk commodity sourcing.

Partner Countries Clusters and Underlying Causes

Suppliers form three clear groups. The first is bulk suppliers like the US, Saudi Arabia, and the UAE, which have high weight shares but lower value ratios, pointing to large shipments of lower-value scrap. The second group includes the UK and Germany, where the value ratio exceeds the weight ratio, suggesting they provide smaller quantities of higher-quality, more expensive scrap. The third cluster, featuring Australia and the Netherlands, shows a balanced ratio, indicating a mix of scrap grades.

Forward Strategy and Supply Chain Implications

Buyers should consider a dual strategy. For cost-sensitive operations, bulk suppliers like the US offer volume. For higher-quality needs, European sources are better despite higher unit costs. The current import duty structure for this commodity, with a 2.5% basic customs duty [SEAIR], makes sourcing viable, but buyers must monitor potential policy changes as industry groups have advocated for an increase to 10% [Economic Times].

Table: India Aluminium Scrap (HS 7602) Top Partner Countries (Source: yTrade)

Get Complete Partner Countries Profile

India Aluminium Scrap (HS 7602) 2025 July Import: Action Plan for Aluminium Scrap Market Expansion

Strategic Supply Chain Overview

The India Aluminium Scrap Import market for 2025 July under HS Code 7602 is a commodity-driven trade. Prices are primarily set by scrap grade, with clean aluminium scrap (76020010) commanding a slight premium at $5.93/kg. Geopolitical factors, especially potential duty increases from 2.5% to 10%, add significant cost risk. The supply chain is dominated by bulk, low-cost shipments from the US, but higher-quality material comes from European suppliers at a higher price. This creates a dual sourcing need: volume for cost efficiency and quality for specific production requirements.

Action Plan: Data-Driven Steps for Aluminium Scrap Market Execution

• Use shipment frequency data to lock in contracts with high-value, high-frequency buyers. This ensures stable revenue and reduces market volatility.
• Diversify sourcing between US bulk suppliers and European quality-focused partners. This balances cost control with access to premium scrap grades.
• Monitor Indian customs policy updates monthly. Early awareness of duty changes allows for cost adjustments and avoids margin compression.
• Analyze buyer clusters to create tailored sales approaches for bulk and small-scale importers. This maximizes reach across all profitable segments.

Take Action Now —— Explore India Aluminium Scrap Import Data

Frequently Asked Questions

Q1. What is driving the recent changes in India Aluminium Scrap Import 2025 July?

India's aluminium scrap imports surged 29% in value and 20% in volume from June to July 2025, driven by mid-year industrial demand cycles and stable import duties.

Q2. Who are the main partner countries in this India Aluminium Scrap Import 2025 July?

The United States leads with 18.33% of total weight, followed by Saudi Arabia and the UAE as bulk suppliers, while the UK and Germany provide higher-quality scrap at premium prices.

Q3. Why does the unit price differ across India Aluminium Scrap Import 2025 July partner countries?

Prices vary due to scrap grade differences—clean aluminium scrap (76020010) averages $5.93/kg, while other waste (76020090) trades at $5.50/kg, reflecting quality premiums.

Q4. What should importers in India focus on when buying Aluminium Scrap?

Importers should prioritize high-value, high-frequency buyers (65.64% of market value) and diversify suppliers to balance bulk US shipments with premium European grades.

Q5. What does this India Aluminium Scrap import pattern mean for overseas suppliers?

Suppliers must cater to India’s dual demand: bulk lower-grade scrap for cost efficiency and smaller high-quality shipments for specialized buyers.

Q6. How is Aluminium Scrap typically used in this trade flow?

The scrap is primarily used as a semi-fungible commodity in recycling and manufacturing, with bulk handling for industrial production.