# Copper Producers Push for GST Cut

> Copper producers demand GST reduction to free $3.6bn cash as prices hit record highs.
- Title: Copper Producers Push for GST Cut · The Economic Times
- Summary: Copper producers demand GST reduction to free $3.6bn cash as prices hit record highs. Indian copper producers seek GST cut from 18% to 5% to unlock $3.6bn…
- Keywords: copper producers, gst cut, india, copper prices, working capital, vedanta ltd, hindalco industries, Copper, Producers, Push, GST, Cut
- Source: The Economic Times — https://economictimes.indiatimes.com/industry/indl-goods/svs/metals-mining/copper-producers-seek-gst-cut-to-5-per-cent-as-record-prices-lock-up-cash-vedanta-hindalco/articleshow/134449857.cms
- Author: Bloomberg
- Published: 2026-09-24T02:49:00+00:00
- Read time: 1 min
- Topics: copper producers, gst cut, india, copper prices, working capital, vedanta ltd, hindalco industries
## Copper Producers Seek GST Cut
Indian copper producers want lower tax rates to free cash locked up in the supply chain.

> record metal prices are tying up working capital across the supply chain
## GST Rate at 18%
Current GST on copper is 18%, up from 5%.

> GST on a range of copper to 5% from 18%
## Potential $3.6bn Unlock
A cut could free $3.6 billion currently tied up in tax payments.

> unlock as much as three point six billion dollars of capital
## Record Copper Prices
Copper prices hit $14,700 a ton on the London Metal Exchange.

> climbing above fourteen thousand seven hundred dollars a ton
## Working Capital Pressure
Copper producers face higher working capital needs due to tax costs.

> is locking up significant working capital that could otherwise be deployed toward industry expansion
## Inventory Reduction
Cable makers cut inventories as stockpiling becomes too costly.

> inventories are now measured in days rather than weeks
## Key takeaway

Indian copper producers seek GST cut from 18% to 5% to unlock $3.6bn tied up in tax payments amid record copper prices.