Poland's finance minister announces copper mining tax cuts from 2026

On Friday, Polish Finance Minister Andrzej Domanski announced a cut in the country's copper mining tax from 2026. He said the initiative will support national producers by lowering their costs. The reform also provides for deductions related to investment spending by companies supplying European markets with the red metal. According to Reuters, the tax on mineral extraction, including copper, was introduced in Poland 13 years ago, in 2012.

The country's largest copper miner is KGHM. The company is of great importance not only for Poland itself, but also for other European countries. It provides approximately 85% of the region's total copper supply, says Minister of State Assets Jakub Jaworowski.

According to its annual report, KGHM paid a tax of 3.9 billion zlotys (more than $1 billion) for 2024. If the payment system is modernized from 2026, the company’s tax revenue will drop by about 10 billion zlotys ($2.7 billion) in 10 years. National copper producers' spending will correspondingly decline by the same amount, Reuters reports.