- Strong demand and tight supply keep scrap prices firm.
- China competition limits high-grade scrap availability for India.
Domestic copper scrap prices in India remained firm during the week, supported by strong local demand and tight material availability, despite a correction in LME copper prices from the previous week. Buyers continued to face limited availability of high-grade scrap, while the earlier US tariff-related uncertainty had prompted Indian consumers to increase imports after May 2026 despite elevated international prices.
As per BigMint’s assessment, copper armature scrap, ex-Delhi, remain rangebound at INR 1,290,000/t, compared with INR 1,288,000/t in the previous week, Meanwhile, LME copper declined to around $13,950/t, from $14,217/t in the previous week, a fall of nearly 1.9% w-o-w.
Copper prices Correct after early August rally
Copper prices have eased after reaching nearly $14,310/t in August, a six-month high. The earlier rally was driven by tight LME inventories and shipments to the US ahead of possible import tariffs. Prices are now correcting as the supply squeeze eases, US-bound buying slows and traders book profits after the sharp rally.
The Indian copper scrap market remained relatively firm despite the correction in LME prices, as local demand continued to support prices while physical availability remained tight. Market participants reported that the availability of suitable scrap was limited, particularly for high-grade material.
The earlier uncertainty surrounding potential US copper tariffs had also encouraged Indian consumers to step up imports despite high international prices, as buyers preferred to secure material amid concerns over future availability and replacement costs.
Copper scrap imports in June-July 2026
India’s copper scrap imports declined in July 2026, falling to 36,192 tonnes from 40,090 tonnes in June, a month-on-month drop of around 10%. The decline indicates softer import demand amid elevated copper prices and cautious buying by domestic consumers. Importers remained selective, with purchases largely driven by immediate requirements and prevailing market conditions.
However, the availability of premium-grade copper scrap remained constrained, as more high-quality material continued to flow towards China and other Far East markets.
China and Far East markets attract high-grade scrap
China’s continued preference for cleaner and higher-grade recycled copper material has increased competition for premium scrap globally. China’s regulatory framework requires imported recycled copper materials to meet specified quality standards, with the current rules allowing compliant recycling materials to enter freely while requiring different categories to be separately declared and handled.
As a result, clean, high-copper-content grades such as Millberry and Candy/Berry-type scrap remain particularly competitive in the international market. With global availability of such material limited, Chinese buyers are able to attract cargoes by offering stronger prices.
Far East buyers have also been offering better realizations for high-grade copper scrap compared with Indian buyers. A key factor is the COMEX-LME price differential. When COMEX trades at a significant premium to LME, US-origin material becomes more attractive to markets that can capture the higher US-linked pricing, reducing the incentive for suppliers to sell scrap into LME-linked markets.
This dynamic has increased competition for high-grade scrap and made procurement more challenging for Indian recyclers.
Despite higher imports in June, the domestic market continues to face challenges in securing prompt availability of high-grade imported scrap. Stronger demand from China and Far East markets, along with better price realizations, has diverted some premium material away from India.
At the same time, higher freight and logistics costs continue to increase landed costs for Indian buyers. Shipping disruptions and elevated freight rates have further added uncertainty to international scrap procurement.
For Indian recyclers, the combination of strong domestic demand, limited availability and competition from overseas buyers has kept replacement costs elevated even as LME copper corrected from its recent record highs.
The Indian copper scrap market is expected to remain firm in the near term, with domestic demand providing support despite the recent decline in LME copper prices.
Availability will remain a key factor to watch. Continued competition from China and Far East markets for premium-grade scrap could restrict supplies to India and keep replacement costs elevated. Meanwhile, higher Indian scrap imports indicate that domestic consumers remain willing to procure material at elevated prices when availability becomes tight.
With the primary-secondary price differential remaining favourable for secondary copper, recyclers and downstream consumers are likely to continue evaluating scrap as a cost-effective alternative, particularly in wire and cable applications.
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