Copper scrap prices in India headed north this week. Copper armature scrap was assessed at INR 824,000/tonne (t) ex-Delhi, up 2.23% w-o-w, while motors mix tags moved down w-o-w to $1,160/t, after touching over $1,200/t levels in the middle of the week. This followed a rise of $100/t w-o-w in London Metal Exchange (LME) futures to over $9,800/t, also touching $10,000/t yesterday, a five-month high.
Secondary continuously cast rods (CCRs) (99.90%) were assessed at INR 888,000/t ex-Delhi, reflecting a 2.5% w-o-w increase. Meanwhile, primary CCR prices rose by 2.1% to INR 922,000/t.
Market insights
Copper cable scrap in strong demand
A trader noted that Copper Cable scrap is in high demand across India. However, due to its limited immediate availability, buyers are shifting their focus to alternative grades such as Millberry and Cloves to meet operational needs.
Burnt copper exports still on hold
A source stated, “Despite ongoing discussions, burnt copper exports from India have not yet resumed, primarily due to strong domestic consumption. Market participants anticipate that exports may resume by mid-2025, depending on supply conditions”.
Other updates
Adani Enterprises Ltd., through its wholly owned subsidiary Kutch Copper Limited (KCL), has partnered with Praneetha Ventures Private Limited to form Praneetha Ecocables Limited (PEL). This joint venture will focus on the manufacturing, marketing, and distribution of metal products, wires, and cables, expanding Adani’s presence in the industrial and infrastructure sectors.
Also, Hindalco has announced an INR 45,000 crore investment plan for its copper and aluminium segments. The investment will enable the company to expand upstream and develop next-gen high-precision engineered products. Notably, the company’s primary aluminium production has expanded from 20,000 t in Renukoot to 1.3 mnt, making it India’s largest fully integrated producer. Hindalco is also on track to surpass 1 mnt of refined copper production.
Global copper market overview
China’s premium offers
Market sources highlight that China is currently offering premium prices for copper, causing a diversion of high-quality material to Chinese buyers. This shift could further tighten domestic supply in India.
China has been offering more competitive prices for copper, especially for cables. This week, tradable values for copper druid scrap in China were at 95.5% of the LME rate – 2-3% higher than India – which was supported by favourable freights from Australia. Given higher demand in China and Thailand, Australian scrap suppliers prioritised shipments to these regions over India.
Indonesia grants Freeport export permit
Indonesia has granted Freeport Indonesia a six-month export permit for copper concentrate as the company works on repairing its Gresik smelter, which was damaged by a fire in October. The permit allows Freeport to maintain royalty payments despite operational disruptions. Currently, Freeport is operating at 40% capacity, with a stockpile of 400,000 t, reflecting the impact of the smelter outage on production.
Recent deals
Copper Candy berry sold at 97.5% from Australia to CIF CHINA – 100 t
Copper Druid scrap (high grade) traded at 95.5% CIF Chennai – 2 loads, Australia
Copper Druid scrap (Mid grade) traded at 92% LME CIF Chennai – 2 loads , Australia
This increased activity, along with the news of new smelters and refiners entering the Chinese market, drove copper prices higher for both imported and domestic markets, with demand staying robust.
Outlook
Copper prices are expected to stay high due to raw material shortages and rising LME prices, which briefly surpassed $10,000/t before retreating. Increased US imports are tightening supplies elsewhere, amid an ongoing probe into potential new tariffs on copper.
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