High Metal Prices Push Engineering Exports

 Chennai: High metal prices have been supporting engineering goods exports clock double-digit growth in the past few months. While steel prices touched multi-year high, copper, zinc, nickel and aluminium prices have seen double-digit rise.

Engineering goods exports touched a record double-digit export growth of 20.91% in September - at $12.17 billion in September, up from $10.06 billion in the same month last fiscal. Cumulatively, engineering exports during April-September 2026-27 grew by 19.78%.

The growth of engineering exports during September 2026 was led by higher exports of copper and products, iron and steel, electrical machinery and equipment, aluminium and products, and two and three wheelers among others.

Exports of iron and steel and products of iron and steel grew by 24% in September. In the month, steel prices touched a four-year high due to rising coking coal and high iron ore costs. TMT Rebar prices surged 12.6 per cent, hot rolled coil were up by about 15% and cold rolled coil prices too rose by double digits.

Copper and copper product exports were up 146% as copper prices were at record highs and 48% higher than September 2025.

Shipments of aluminium and its products rose 35% in the month and the prices were up 23.7%. Nickel exports were up 13% while the average prices were higher by 8%.

Tin prices were 56% up and the exports too grew by 55%.

On the other hand, zinc prices were up by 37%, but zinc products exports were down by 27%, indicating that volumes were substantially down. Lead products exports were down 34%, while the prices declined by 4.2%.

The government has not been releasing the export volume data, which can give a better understanding about the export growth.

“While engineering exports grew 20% in September, it also exposed structural vulnerabilities. Imports increased 12.3% to US$15.6 billion, leaving a $3.43 billion engineering trade deficit," said Pankaj Chadha, chairman, EEPC.