Copper, essential for electronics, EVs, AI data centers, and green technologies, is facing a supply crunch amid surging demand. Production disruptions in Chile, Indonesia, and the DRC, combined with potential US tariffs and declining ore grades, have driven prices above $13,000 per metric ton.
Long-term demand is expected to grow by over a third by 2035 due to EV adoption, renewable energy, and AI infrastructure. Expanding supply is challenging, with new mines slow to develop and environmental restrictions rising.
Major copper production is concentrated in Chile, the DRC, and Peru, while China dominates refining, raising geopolitical concerns, reports James Attwood of Bloomberg. Stockpiling in the US has further strained global availability. Attwood writes:
Copper is one of the world’s most ubiquitous metals, used in just about everything that’s electrified: smartphones, refrigerators, electric vehicles, power grids and much more.
It’s a crucial material for the green technologies that can lower global carbon emissions, as well as the data centers at the heart of the artificial intelligence boom. But while demand for copper is growing, it’s far from certain that there will be enough supply, amid a slew of production outages in recent months and difficulties in building new mines and expanding existing operations. […]
Read more here.
