LME base metals prices extend gains d-o-d; inventories remain stable

• India launches sunset review on Malaysian aluminium wire imports
  
  
• China's crude imports hit multi-year low amid Hormuz disruptions
  
  

Base metals prices on the London Metal Exchange (LME) closed higher on 11 May 2026, supported by positive momentum across the non-ferrous complex. Copper recorded the strongest gain among major metals, rising 3.30% to $13,943/t, followed by aluminium, which increased 1.94% to $3,580/t. Zinc also advanced 1.49% to $3,480/t, while lead and nickel gained 0.89% and 0.88%, respectively, settling at $1,988/t and $19,253/t. The overall trend reflected continued strength in global base metal sentiment.

On the inventory side, LME stocks remained largely unchanged across all major metals. Copper inventories stood at 399,400 t, aluminium at 355,775 t, nickel at 277,788 t, lead at 265,775 t, and zinc at 110,600 t, indicating balanced short-term supply conditions.

Domestic market overview

India's non-ferrous scrap market showed a mixed d-o-d trend. Aluminium tense scrap (loose) prices declined slightly, with ex-Delhi prices down by INR 500/t or 0.2% to INR 297,500/t and ex-Chennai prices falling by INR 1,500/t or 0.5% to INR 308,500/t, reflecting cautious market sentiment.

Meanwhile, copper armature scrap (Cu 99%), ex-Delhi, increased by INR 10,000/t or 0.9% to INR 1,170,000/t, supported by firm global copper prices and improved downstream demand.

Other updates

India initiates CVD sunset review on Malaysian aluminium wire imports

India's Directorate General of Trade Remedies (DGTR) has initiated a sunset review of countervailing duties (CVD) on aluminium wire and wire rod imports from Malaysia ahead of the duty expiry in September 2026. The review was sought by Hindalco Industries, Vedanta Ltd., and BALCO, citing concerns over continued subsidised imports impacting domestic producers.

The investigation covers alloyed and non-alloyed aluminium wire rods under multiple HS codes, with the subsidy review period set from July 2024 to December 2025, while the injury assessment period extends from April 2022 onwards.

Australia extends AD duties on Malaysian aluminium extrusions

Australia has extended anti-dumping duties (AD) on mill-finish aluminium extrusions imported from Malaysia, with the revised measures set to take effect from 3 June 2026.

The extension of Australia's anti-dumping duties on Malaysian aluminium extrusions is likely to influence regional trade flows by restricting low-priced imports into the Australian market. Malaysian exporters affected by the duties may divert shipments to other Asian destinations, potentially increasing supply competition across the region.

The move is also expected to support Australian domestic producers by protecting them from unfairly priced imports, while highlighting the growing use of trade-remedy measures globally in the aluminium sector.

Oil prices rise amid fragile US-Iran talks

Global oil prices edged higher on 12 May as fragile negotiations between the US and Iran continued to fuel concerns over supply disruptions. Brent crude rose to around $105/bbl, while WTI crude climbed near $99/bbl, extending gains after a nearly 2.8% rally in the previous session.

Market sentiment remained supported by ongoing tensions around the Strait of Hormuz, a key route handling nearly one-fifth of global oil and gas trade. Concerns over disrupted exports and tighter global supply are expected to keep energy markets volatile in the near term.

China's commodity imports reflect Hormuz disruptions

China's April 2026 commodity trade data highlighted the growing impact of disruptions around the Strait of Hormuz, with crude oil imports falling to a nearly four-year low of 9.37 million barrels per day (bpd) amid reduced Middle East shipments and elevated prices. In contrast, metals markets remained firm, with aluminium exports rising 15% y-o-y, supported by tighter global supply and stronger prices.

The trend indicates a shift in Chinas commodity buying pattern, as higher energy costs and supply-chain disruptions weigh on oil demand while supporting global metals prices through tighter availability and trade flow adjustments.