Strong Demand, Tight Supply
For manufacturers in India and the GCC, 2026 will not be about weak demand.
It will be about how well you manage supply, pricing, and sector focus.
Energy transition, infrastructure development, defence, and industrial expansion are driving forward metals demand, while supply remains structurally constrained across aluminium, copper, steel, and titanium.
Strategic Raw Material Management
Aluminium
Global aluminium markets are expected to remain in deficit through 2026 due to high energy costs and limited new smelter capacity.
For India and GCC manufacturers, this means elevated prices and greater reliance on long-term supply contracts over spot buying.
Steel
Local impact comes indirectly via global benchmarks, alloy pricing, and coking coal volatility.
GCC producers benefit from EAF-heavy production, while Indian downstream manufacturers should plan for price pass-throughs in auto, machinery, and EPC contracts.
Copper
Prices are expected to remain firm through 2026, driven by demand for the energy transition.
Scrap availability is tightening, making internal recovery and recycling a key cost lever.
High-Growth Verticals
EVs & Renewables: Global EV production is set to exceed 30 million units by 2026, driving sustained copper demand. India’s EV push and GCC investments in solar, grids, and hydrogen support multi-year component demand.
Titanium (Aerospace, Medical, Defence): The titanium market is projected to reach $32.5B by 2033 (5% CAGR). India and GCC defence and aerospace programs are tightening the supply of high-purity sponge and alloys.
Advanced Manufacturing & Global Shifts
Additive manufacturing, especially for titanium, is accelerating in aerospace and industrial uses, reducing waste and enabling complex parts.
AI in manufacturing will face a reality check in 2026; focus must remain on yield, maintenance, and planning with clear ROI.
Trade barriers and tariffs continue to raise costs; leading firms are isolating these impacts or renegotiating pricing transparently.
India and the GCC remain among the strongest global growth regions for metals, fabrication, and energy-linked manufacturing.
The Bottom Line
2026 will reward manufacturers who treat metals as a strategic risk, not just a procurement line item. Demand is real, but margins will depend on supply discipline, vertical focus, and operational execution.