In an otherwise down market staring at a slow recovery in 2023, only India stands apart from the rest of the world in terms of aluminum production and consumption. Indeed, the government’s push for new infrastructure, especially for green energy, continues to drive domestic consumption and overall stability for aluminum prices.
quoted a Hindalco executive, Nilesh Kaul, as saying that, after China, it was now India’s turn to push up metals consumption. Today, India’s per capita aluminum consumption is hovering around 3 kg. This compares to China’s astounding 31.7 kgs, and about 12 kgs for the rest of the world. However, Kaul said demand for the “green” metal in India could touch about 9 million metric tons by 2033. This would represent a significant uptick from today’s 4.5 million.
After Russia’s invasion of Ukraine and the COVID-19 pandemic, the global aluminum market, especially in China and Europe, has started to lag. On the other hand, India had begun to see an aluminum turnaround with huge domestic projects like the “Vande Bharat’ trains, metro rail development, the 100% electrification drive, and an increased capacity for green power generation.