Aluminium Industry Calls for Higher Import Duties to Protect Domestic Market

The Aluminium Association of India (AAI) urges the government to increase customs duties on aluminium imports to 15% to shield local producers from low-quality imports. AAI also advocates for stringent quality standards to prevent India from becoming a dumping ground for metal waste, aligning with global practices.

In a move to bolster the domestic aluminium sector, the Aluminium Association of India (AAI) has urged the government to raise the basic customs duty on aluminium products to 15%, ahead of the Union Budget 2026-27. This hike aims to curb low-quality imports and protect local industry players.

Addressing Mines Secretary Piyush Goyal in a letter, the AAI emphasized the need for increased tariffs under Chapter 76, to foster self-reliance in the sector. The letter highlighted the unbounded imports the domestic industry faces, anticipating a trade deficit of USD 3.4 billion in aluminium by FY26.

The AAI also pressed for adopting stringent BIS norms to ensure high scrap quality, aligning India's standards with those of the EU and China. This approach aims to develop a robust domestic scrap market and avoid becoming a global waste hub.

(With inputs from agencies.)