According to Commerzbank’s Commodity Analyst Barbara Lambrecht, copper prices have shown a slight recovery in recent days.
Production is expected to recover by only 3%
“Market reports suggest an improved demand outlook. However, the Chilean Copper Commission (Cochilco), which oversees the world's largest copper producer, has downgraded its production targets for Chile. After copper production fell to a 20-year low last year, Cochilco had initially forecasted production of 5.5 million tonnes for this year.”
“Due to disappointing ore grades, the recovery is now projected to be just 3%, reaching 5.4 million tonnes. This aligns with reports of a nearly 11% drop in state producer production in July, following an 8.4% decline in the first half of the year. Production in Peru also appears to be underperforming.”
“Peru, now the third-largest copper supplier globally after the Democratic Republic of Congo's rise, is expected to fall short of its 3 million-ton target, with annual production estimated at 2.8 million tonnes, according to government projections.”
