{"id":1186702,"date":"2020-05-27T05:55:05","date_gmt":"2020-05-27T10:55:05","guid":{"rendered":"https:\/\/www.mining.com\/?p=1025135"},"modified":"2020-05-27T05:55:05","modified_gmt":"2020-05-27T10:55:05","slug":"pandemic-to-worsen-copper-glut-during-next-18-months","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1186702","title":{"rendered":"Pandemic to worsen copper glut during next 18 months"},"content":{"rendered":"

A global copper surplus currently in the making is expected to get worse in the next 18 months as market disruptions have created greater uncertainty in the factors affecting supply and demand for the metal, a market\u2019s insider report shows<\/a>.<\/p>\n

According to the International
\nWrought Copper Council (IWCC), which represents copper and copper alloy producers,
\nsupply is expected to surpass demand by 285,000 tonnes this year as a result of
\ncoronavirus-related disruptions. The figure would likely rise to 675,000 tonnes
\nin 2021, the industry body said.<\/p>\n

\n
\n

IWCC expects global copper surplus to hit 285,000 tonnes this year and 675,000 tonnes in 2021.<\/p>\n<\/blockquote>\n<\/figure>\n

Unlike gold, considered a safe haven asset, copper remains largely ruled by laws of supply and demand. With mines shutting down or curtailing operations and global economic growth projections being tossed aside amid the coronavirus pandemic, both supply and demand of the red metal continue to be severely affected.<\/p>\n

On May 19 prices for the metal hit their lowest since January 2016, with three-month copper futures on the London Metal Exchange (LME) touching $4,371 per tonne. That\u2019s down from a high of around $6,340 per tonne in mid-January.<\/p>\n

Plot twist<\/strong><\/h2>\n

\u201cThese are unprecedented times and
\nthe copper industry is not immune from the impact of the COVID-19 pandemic,\u201d
\nthe IWCC said.<\/p>\n

The report confirms a plot twist for copper, which was supposed to thrive this year amid a projected supply deficit<\/a>. <\/p>\n

Demand for the metal, widely used
\nin construction and increasingly in the electric vehicles (EVs) sector, is
\nforecast to fall by 5.4% this year, the IWCC said. The industry body, however, believes
\ndemand could rebound by 4.4% in 2021.<\/p>\n

Refined copper production this year
\nis forecast to be 22.91 million tonnes against demand of 22.625 million tonnes.
\nIn 2021 output seen climbing to 24.3 million tonnes, with demand at 23.625
\nmillion tonnes.<\/p>\n

In China, the world\u2019s largest consumer
\nof the metal, refined copper demand will slide 2.8% to 11.87 million tonnes
\nthis year. In 2021, however, should rise by 2.6% to 12.175 million tonnes in
\n2021, according to the IWCC.<\/p>\n

In Europe, refined copper
\nconsumption is seen falling 6.4% in 2020 before climbing 5.4% to 2.927 million
\ntonnes next year.<\/p>\n

In North America, including the
\nUnited States, Canada and Mexico, refined copper demand this year is expected
\nto slip 6.9% to 2.223 million tonnes before registering a 5.3% upturn in
\n2021. <\/p>\n

IWCC based its estimates on publicly
\navailable information and input from the International Copper Study Group
\n(ICSG), a global research and marketing body.<\/p>\n","protected":false},"excerpt":{"rendered":"

IWCC expects global copper surplus to hit 285,000 tonnes this year and 675,000 tonnes in 2021.<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[2849,949,369],"tags":[],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1186702"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1186702"}],"version-history":[{"count":4,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1186702\/revisions"}],"predecessor-version":[{"id":1186771,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1186702\/revisions\/1186771"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1186702"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1186702"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1186702"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}