COPPER prices achieved a record high on Wednesday as operational disruptions at major mines and a series of disappointing production forecasts from leading companies intensified concerns about supply shortfalls.
The London benchmark for the industrial metal, used across sectors from construction to electric vehicles, climbed 1 per cent to $11,137 per ton, said the Financial Times. This price eclipsed the previous peak of $11,104 established in May 2024, the newspaper added.
A combination of Donald Trump’s levies on the metal, ageing mining operations and production setbacks at some of the world’s largest facilities has driven copper’s rally. Jefferies analysts said this month that recent output had been affected by “operational challenges at some major mines”, warning of “sizeable deficits in the copper market” over the coming year.
Supply has faced multiple shocks this year, including a fatal mudslide at American producer Freeport-McMoRan’s extensive Indonesian mine. The company said this month that operations at Grasberg remained suspended and that next year’s production would be materially reduced.
Several large producers have cautioned that output will decline next year. On Wednesday, London-listed Glencore reported a 17% fall in copper production during the first nine months and lowered the upper limit of its full-year forecast. Chilean miner Antofagasta warned this month that 2025 production would reach the lower end of previous projections, whilst next year’s forecasts also disappointed investors.
The record caps a turbulent year for copper. Physical metal flooded into America ahead of tariff implementation, depleting inventories elsewhere. American Comex warehouse stocks now exceed combined holdings at the LME and Shanghai Futures Exchange.
