Copper Market
Copper Supply and Demand
A deficit in copper supply is expected to persist into 2025, with ongoing challenges in South American production and intensified global demand driven by the energy transition and automotive sectors. Copper remains a critical economic barometer, and supply shortages could exacerbate inflationary pressures, influencing monetary policy decisions worldwide.
China’s role as a dominant consumer continues to shape copper markets, with its sustained investment in renewable energy and electric vehicle production fueling demand. Additionally, the global push toward achieving net-zero emissions by 2050 has further elevated copper’s significance, as the metal is essential for wind, solar, and grid infrastructure.
In 2025, copper prices are expected to reflect these dynamics. Prices ended 2024 around USD 4.20/lb and have shown upward momentum, recently trading between USD 4.40/lb and USD 4.60/lb. Analysts forecast a potential price range of USD 4.00/lb to USD 5.50/lb for 2025, depending on supply chain developments and macroeconomic conditions.
New mining projects, while promising, are unlikely to alleviate near-term pressures as most are still years from production. Consequently, the copper market is projected to remain tight throughout 2025, with prices and volatility responding to geopolitical and economic developments.