India: CR busheling scrap prices rise INR 2,500/t in latest auction by leading automaker

• OEM scrap bids rise amid tighter regional availability
• Strong alloy steel prices support mill procurement

A leading Indian four-wheeler company auctioned 5,300 t of low-manganese CR busheling scrap from its Gurgaon, Haryana plant on 27 August 2026, which cleared at INR 39,400-39,600/t ex-works, up INR 2,400-2,600/t from the 27 July auction that closed at INR 36,900-37,100/t ex-works.

The m-o-m bid improvement was driven by a raw material squeeze, as stricter GST checks on the Punjab border tightened scrap flows into key consuming clusters, alongside supportive price hikes from secondary steelmakers in semi-finished and finished steel that lifted mill appetite for OEM-linked scrap.

Price trend

BigMint’s price assessment for CR busheling loose scrap in Ludhiana stood at INR 43,300-43,400/t DAP as of 31 August, with bundle scrap trading at a premium of INR 300-500/t over loose material. M-o-m, prices in the region advanced by around INR 1,750/t. Market participants noted that Ludhiana’s alloy steel mills rely heavily on CR busheling scrap sourced from Delhi and Haryana, given the consistent generation of OEM-linked scrap in these regions.

A mill owner told BigMint that in the last week alone, about 5,100 t of CR busheling loose scrap changed hands at INR 41,400-42,300/t DAP Ludhiana, with local mills procuring actively on the back of a strong price rally in the alloy steel segment. Separately, on 21 August, a Pune, Maharashtra-based OEM auctioned around 900 t of CR HR mix scrap at INR 34,200/t ex-works, with bids up INR 1,300-1,400/t compared to the previous month, underscoring firmness across OEM scrap tenders.

Auto demand in India

India’s auto demand in August remained robust on the retail side, with passenger vehicles (PV) up an estimated 9-10% y-o-y (some reports 11-13%), two-wheelers surging 18-20% y-o-y on festive Onam pull, a richer premium ICE and EV mix and a low base, commercial vehicles (CV) growing 14-16% y-o-y, and three-wheelers (3W) up around 11-12% (1-24 August data), while tractor demand cooled due to uneven monsoons. Wholesalers also reported strong volumes as OEMs built inventory ahead of the festive season, with PV wholesales likely up mid-30s to 41% y-o-y, supported by steady inquiries, improved supply chains, recent model launches, and softer financing post-GST rationalisation.