- India bullish on copper scrap after duty removal
- Codelco’s June output rises 17% y-o-y
Imported copper scrap prices in India registered a modest w-o-w gain, following a slight gain in LME copper futures to $9,754/tonne w-o-w.
According to BigMint’s assessment, copper Birch cliff scrap was assessed at $9,190/t, up by 2.62% w-o-w, while US motors mix stood at $1,165/t (both CFR Mundra), nearly stable w-o-w.
LME futures increased by $78/t to $9,754/t compared with last week’s $9,676/t. Meanwhile, copper stocks at LME-registered warehouses stood at 155,000 t, down by roughly 1,125 t compared to 156,125 t the previous week.
On-warrant copper inventories in LME warehouses have climbed 22.5% since early July to 143,725 t, after US President Trump exempted copper products from the planned 50% import tariff on 31 July. The move eased US supply concerns, redirecting cargoes originally bound for the US back into global markets.
US refined copper imports had already surged 130% y-o-y in Jan-May, but with the tariff risk lifted, more material is flowing into the LME system. Stocks more than doubled in July to 121,225 t, supported by fresh production and the transfer of off-warrant metal onto warrant. Large US stockpiles remain largely unchanged.
Market scenario
India’s copper scrap market is witnessing strong bullish sentiment following the removal of the 2.5% import duty on copper scrap for FY 2025-26. The policy change has made imported scrap more competitive, prompting manufacturers to ramp up purchases. Industry analysts expect demand to stay firm, with India’s dependence on imported scrap likely to rise as domestic smelting and recycling capacity lags behind requirements from the energy transition, infrastructure buildout, and growth in the cable and electronics sectors.
In major metros such as Delhi and Mumbai, clean, ready-to-melt brass scrap is trading up to INR 480,000/t. Delhi’s “Brass Honey” grade slipped to INR 580,000/t in early August due to temporary oversupply, though clean brass prices remain stable. Short-term volatility persists, but market fundamentals are viewed as steady.
Copper scrap prices in Europe remained stable over the week, supported by steady demand from secondary smelters amid refined cathode shortages. Some suppliers had shifted cargoes toward the US in anticipation of tariff changes, tightening prompt availability and keeping prices firm for immediate delivery.
Price levels (CIF China)
- Millberry (US/Europe origin): 98.5% LME
- Candy Berry (Europe): 97.5-98.5% LME
- Birch/Cliff (Europe): 91-93.5% LME
Seasonal slowdowns from the summer holiday period have not significantly impacted buying activity, with refiners and smelters — particularly in southern Europe — maintaining stable intake. However, increased availability of secondary raw materials and lingering macroeconomic uncertainty are adding mild downside pressure. European recyclers are also tracking Asian demand trends, with aggressive South Korean buying recently diverting high-grade scrap away from the region.
Other updates
Codelco lifts June copper output even as peers see sharp declines
Chile’s state-owned Codelco boosted copper production by 17% y-o-y in June to 120,200 t, data from Cochilco showed. In contrast, output at BHP’s Escondida mine fell 33% to 76,400 t, while Collahuasi — jointly operated by Glencore and Anglo American — saw a 29% drop to 34,300 t, underscoring Codelco’s outperformance against key rivals.
Precision Wires to invest INR 70 crore in copper capacity expansion
Precision Wires India’s board has approved a capex plan of INR 70 crore to enhance copper production capacity. The allocation includes INR 33 crore for copper rod capacity expansion — INR 28 crore at Zaroli and INR 5 crore at Valvada — and INR 37 crore for expansion and modernisation at Silvassa. The Silvassa project, scheduled for implementation in 2026, will add 4,400 tpa by Q4FY’27, taking the company’s total installed capacity to around 65,400 tpa.
Delton commissions new telecom cable plant in Haryana
Cable manufacturer Delton has commissioned a new telecom cable production facility in Prithla, Haryana, on 7 Jun’25 to cater to growing demand from major operators. The unit, set up on leased industrial property adjoining its Plant II, marks the company’s third manufacturing facility and expands capacity to serve India’s rapidly growing telecom sector.
Outlook
India’s copper and brass scrap market stays strong ahead of the festive season, with manufacturers boosting purchases to meet higher demand in electrical, construction, and decorative sectors. Import duty removal, steady infrastructure activity, and seasonal consumption peaks support firm prices, despite minor volatility from global LME movements.
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