- Domestic ADC12 prices extend five-month correction
- Weak demand weighs on October ADC12 settlement
India’s leading automaker reduced its ADC12 settlement price by INR 500/t, or 0.2% m-o-m, to INR 304,500/t for October 2026, from INR 305,000/t in September. This follows the sharp INR 12,000/t, or 3.8%, decline recorded in September, reflecting continued pressure from subdued demand, lower raw material costs and cautious procurement.
The latest reduction comes amid weak spot buying activity in the domestic ADC12 market. Comfortable inventories with most OEMs have reduced the urgency for fresh purchases, while buyers remain cautious amid expectations of further price adjustments.
The October settlement is expected to influence domestic ADC12 pricing, with suppliers likely to reassess their offers around the new benchmark. Market participants are closely monitoring automotive demand, raw material prices and imported material availability to gauge the direction of prices in the coming weeks.
With procurement remaining cautious and inventory levels comfortable, ADC12 prices could remain under pressure in the near term, although any recovery in automotive demand or raw material prices could provide some support.
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