The Aluminium Association of India (AAI) has called on the Department for Promotion of Industry and Internal Trade (DPIIT) and the Ministry of Finance to take urgent measures to safeguard the country’s aluminium industry from escalating import dependence and market distortions. The association has warned that unchecked imports could lead to an impending aluminium shortage—similar to global concerns around critical and rare minerals—and derail over Rs 20 trillion of potential investments in India’s aluminium value chain.AAI has urged the government to increase the basic customs duty to 15 per cent on all aluminium products under Chapter 76 and to introduce stringent BIS-aligned quality standards in line with global benchmarks to prevent India from becoming a dumping ground for substandard and hazardous scrap materials.The appeal comes amid a surge in low-quality aluminium imports from surplus-capacity countries, threatening the competitiveness of domestic producers. Aluminium—now recognised as a strategic and critical metal by the United States, European Union, NATO, and India—is vital for national security, infrastructure, aerospace, defence, and the clean energy transition.Globally, several major economies have strengthened trade barriers:The United States has raised tariffs on aluminium imports from 10 per cent to 50 per cent.China has imposed a 25 per cent duty on aluminium scrap imports from the US and restricted quality to below 91 per cent aluminium content.The European Union and United Kingdom have introduced non-tariff measures, including the Carbon Border Adjustment Mechanism (CBAM), increasing import costs by 7 per cent –60 per cent.In contrast, India—with a domestic production capacity of 4.2 MTPA, backed by Rs 1.5 trillion of investment and employing over 8 lakh people—is witnessing an alarming rise in imports, which could account for 54 per cent of domestic demand by FY26. Over the past 14 years, aluminium consumption has grown by 160 per cent, but imports have surged by 250 per cent, and aluminium scrap imports by 285 per cent.AAI cautioned that the influx of low-grade, contaminated scrap—often containing hazardous materials such as lead—poses serious health, environmental, and safety risks, especially when used in consumer goods, cables, and utensils. This unregulated trade not only undermines domestic producers adhering to BIS standards but also weakens India’s Aatmanirbhar Bharat vision.AAI’s Key Recommendations:Raise the basic customs duty on aluminium products under Chapter 76 to 15 per cent to curb dumping.Enforce BIS-based quality standards for aluminium scrap imports aligned with global best practices.Rationalise duties on raw materials to enhance domestic value addition and competitiveness.Harmonise regulations to promote a circular economy and strengthen environmental safeguards.According to AAI, these reforms could unlock investments exceeding Rs 2 trillion in the near term and Rs 20 trillion by 2047, doubling India’s aluminium capacity to 9.2 MTPA by 2030, creating over one lakh new jobs, supporting thousands of MSMEs, and reducing import dependence.AAI has urged the government to prioritise these measures ahead of the Union Budget 2026–27 to secure India’s aluminium ecosystem and reinforce its strategic industrial self-reliance.