Codelco, the world's largest copper producer, says physical demand for the metal remains strong amid all the turmoil in financial markets, driven by US President Donald Trump's trade policies.
Over the past week, copper demand has increased in China while holding steady in the US, Codelco Chairman Maximo Pacheco noted. However, New York metal contracts have fallen nearly 20% since late March. While Pacheco avoided making price forecasts, he emphasized that current levels don’t reflect the positive outlook for copper as a critical metal for decarbonization.
Codelco plans to invest up to $5.6 billion in modernization projects to upgrade its aging infrastructure. The company aims to return production to pre-pandemic levels by the end of the decade. Chairman Pacheco stressed that despite ongoing maintenance at the El Teniente mine, the company's copper output in the last quarter probably came in slightly above the same period last year.