- MSMEs suffer due to FTAs and cheap imports
- ALEMAI urges removal of extrusion from FTAs
The once-thriving aluminium extrusion industry in India is sounding the alarm. Over the past two years, 28 manufacturing units have shut down, leading to the loss of nearly 5,000 jobs. The reason? A lethal mix of free trade agreements (FTAs) and rising import dependence, according to Jitendra Chopra, President of the Aluminium Extrusion Manufacturers Association of India (ALEMAI).
Speaking at the curtain-raiser event for ALUMEX 2025, an upcoming industry exhibition, Chopra didn’t mince words. “MSMEs are already getting impacted because of the FTA with ASEAN. Around 28 micro-enterprises have been closed in the last two years, and 5-7 medium enterprises are on the verge of shutting down,” he said.
Industry operating at half its capacity
India’s aluminium extrusion industry boasts an installed capacity of 3 million tonnes per annum (MTPA)–but is functioning at just 1.2 million tonnes (mnt). Meanwhile, imports are flooding the market, often taking advantage of price differences, FTA concessions, and duty-free access via various HSN codes.
“Imports now exceed 1.5 mnt annually,” Chopra warned. “Unless the government introduces safeguards, MSMEs will continue to face existential threats.”
Call for fair trade and policy support
In a strongly worded statement, ALEMAI urged the government to remove aluminium extrusion downstream value-added products from FTAs, particularly those with ASEAN and other regions. The association also demanded stronger safeguards against cheap imports, which they say disproportionately harm smaller manufacturers.
Chopra emphasized, “India can become a global leader in aluminium extrusion, but only if MSMEs are protected and policy support is extended.”
Big players win, MSMEs lose
Referring to the recent FTA with the United Kingdom, Chopra acknowledged it may benefit large aluminium producers–but not MSMEs. “The smaller players are being left behind,” he said, warning of an increasingly unbalanced playing field.
Aluminium vs. UPVC: A battle for domestic demand
The association also pointed to inconsistencies in domestic demand generation. According to Chopra, while aluminium could play a major role in India’s infrastructure growth, state governments are instead promoting crude oil-based Unplasticized Polyvinyl Chloride (UPVC) products.
“This is counterproductive,” he said. “India has abundant bauxite reserves. We must boost aluminium consumption in construction and infrastructure to reduce reliance on alternatives like UPVC.”
Secure raw materials, boost billet production
Apart from policy changes, ALEMAI has called for increased billet production by public sector companies like NALCO (National Aluminium Company) to ensure steady raw material supply for domestic producers.
Looking inward, not westward
On the impact of U.S. tariffs, Chopra had a clear stance: India cannot depend on external relief.
“Yes, U.S. tariffs have had a ripple effect on our industry, but the solution lies in strengthening our domestic market, not waiting for external intervention,” he said.
The road ahead: ALUMEX 2025 and industry revival
Set against this backdrop of challenges, ALUMEX 2025, scheduled for September 10-11-12 in Delhi, aims to serve as a platform for stakeholders to come together, voice their concerns, and chart a sustainable path forward for the aluminium extrusion industry.
The message from the industry is clear: revive MSMEs, review FTAs, and reclaim India’s aluminium leadership.
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