- Global aluminium scrap markets remained balanced in Q2’26 as supply concerns supported values initially before easing conditions reduced upward momentum.
- Feedstock conditions shifted as primary aluminium prices corrected, with aluminium values declining 11.0% during June and lowering scrap replacement pressure.
- Downstream demand remained supported by recycled aluminium consumption, with China and India maintaining growth in aluminium-intensive applications.
In Q2’26, Aluminium Scrap prices were ~USD 2,737.84/MT in April and ~USD 2,744.00/MT in June, witnessing a marginal increase in the Chinese region. Meanwhile, in India, prices increased from ~USD 2,787.84/MT in April to ~USD 2,831.00/MT in June, showing a ~1.5% increase. Asian scrap markets received early-quarter support as primary aluminium supply concerns increased demand for recycled material. China’s aluminium scrap market strengthened initially before easing as primary aluminium values declined and buyers adopted cautious procurement strategies. Recycled aluminium demand remained supportive, with aluminium consumption expected to increase 0.9% in China and 0.6% in India during 2026. However, secondary aluminium operations in China remained underutilised, limiting stronger scrap demand growth during the quarter. Global competition for recycled material continued as manufacturers sought alternatives to primary aluminium amid supply uncertainties. The decline in aluminium values during June reduced the replacement cost advantage for scrap buyers and prevented further price gains.