India: Copper pipe, tube imports ease in 5MFY’26; Vietnam’s share plunges

• Customs probe on Vietnam trade slows down imports
• Hindalco, Adani, MetTube projects to boost local supply

India’s copper pipe and tube imports fell 10% y-o-y to 39,900 tonnes (t) in the first five months of FY’26 (April-August 2025), compared with 44,500 t in the same period last year. Shipments from Vietnam plunged by 25% y-o-y to 21,100 t (53% of total imports) from 28,100 t (63%) in the previous year.

The decline was most pronounced in July and August 2025, when imports slumped to 5,160 t and 2,730 t, respectively.

The key reason behind the decline is the ongoing customs probe into misuse of the ASEAN-India Free Trade Agreement (AIFTA). Several importers of copper tubes from Vietnam have received show-cause notices for wrongly declaring their goods as eligible for zero-duty imports under AIFTA. Officials found that some of these tubes were made using copper sourced from non-ASEAN countries such as Chile or Japan, meaning they did not meet the 35% value-addition rule required for duty exemption. This investigation has caused delays at ports and made importers more cautious, reducing shipment volumes from Vietnam — once India’s top supplier.

To manage the shortfall, traders have started shifting towards Malaysia, Thailand, and South Korea as alternative sources. These countries appear better equipped to meet compliance norms and have managed to capture a growing share of India’s import market. This diversification highlights how buyers are adapting to keep supplies stable despite regulatory challenges.

Meanwhile, on the price front, LME copper averaged around $9,585/t during April-August 2025, slightly below $9,750/t a year earlier. While global prices were a bit softer, import costs remained high due to logistical issues and compliance-related expenses.

Additionally, the inflow of cheaper Chinese copper tube supplies was constrained due to BIS certification delays and longer shipping times, pushing several importers to defer new bookings.

New copper tube projects boost domestic output

Hindalco Industries is setting up a new copper tube plant in Waghodia, Gujarat, with a capacity of 25,000 tonnes per annum (tpa). The facility will make inner-grooved tubes used in air-conditioners and refrigeration units. This move is expected to reduce India’s import dependence and boost local supply.

Adani Enterprises has tied up with MetTube of Malaysia to set up a copper tube manufacturing unit under its Kutch Copper project near Mundra. The plant will cater to HVAC, renewable energy, and industrial sectors, strengthening India’s domestic production base.

MetTube has also signed an MoU with the Gujarat government to build a new copper tube facility in Sanand, Ahmedabad. The project will supply tubes for air-conditioning, electrical, and automotive applications, aligning with the government’s Make in India push.

Outlook

India’s copper pipe and tube imports may stay weak in the near term as customs probes and stricter AIFTA rules push traders to diversify beyond Vietnam . New local projects by Hindalco, Adani, and MetTube could boost self-reliance, though import volumes may rise again if project rollouts lag or global copper prices spike.