Monday, 2 February, 2026
AI Infrastructure Demand Drives Up Metal Prices, Pressuring Indian Automakers' Margins
The rapid expansion of global AI infrastructure is triggering a surge in demand for critical metals like copper and aluminum, leading to sharp price hikes. This trend is significantly squeezing the profit margins of Indian automakers, who rely heavily on these materials for vehicle production. As data centers and AI hardware projects consume vast resources, the automotive industry faces rising input costs, forcing manufacturers to reassess pricing strategies.
Read full story at Economic Times