BHP Forecasts Copper Demand Surge Through 2035

SEATTLE (Scrap Monster): Global mining giant BHP, in a report released yesterday, noted that global copper demand has recorded a compound annual growth rate (CAGR) of 3.1% over the past 75 years. However, the growth rate witnessed a decline to 1.9% in the 15 years leading up to 2021. Until 2035, BHP expects global copper consumption to increase by around 1 million tonnes annually, on average.

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The developed world's long-standing demand for copper will remain robust due to the increase in living standards. The demand for copper will rise as the developing economies strive to reach the same high level of living.

In the future, the themes of "Energy Transition" and "Digital" will also fuel demand for copper. More copper is anticipated to be needed for the production and transmission of power with minimal greenhouse gas emissions. The demand for digital infrastructure will rise, which will lead to a rise in copper use. According to BHP, by 2050, data center power use would account for 9% of worldwide demand, up from its current level of about 2%. By 2050, it is also anticipated that the need for copper in data centers will have increased six-fold.

BHP foresees global annual copper demand to touch 50 million tonnes by 2050, as compared with 31 million tonnes recorded in 2023.