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In the post-pandemic era, global copper demand surged to record highs, driving price growth due to its vital role in energy, transportation, and electronics.
The global energy transition is a key driver, with copper central to renewable technologies like solar panels, wind turbines, and power grids.
The booming electric vehicle (EV) market, using significantly more copper than traditional cars, further fuels this demand.
Global economic recovery has also boosted copper consumption, particularly in infrastructure construction due to its conductivity and versatility in wiring, plumbing, and HVAC systems.
However, copper price volatility is exacerbated by supply chain issues in major producing nations like the Democratic Republic of Congo (DRC), Peru, and Chile. Additionally, global inflationary pressures, driven by rising energy costs and supply shortages, have increased copper production costs.
The International Monetary Fund (IMF) forecasts continued high global inflation in 2025, impacting copper prices(Copper Price Forecast 2025, n.d.).
Reference:
Copper Price Forecast 2025: Key Factors Driving Global Demand and Price Surge – Shanghai Metal Market. (n.d.). Retrieved April 4, 2025, from https://www.metal.com/en/newscontent/103207635
