Cochilco Raised Copper Price Outlook for 2024

SEATTLE (Scrap Monster): The Chilean Copper Commission (Cochilco) has lifted its copper price projection for the current year to $3.85 per pound, higher from the previous projection of $3.75 per pound.

In an official statement released yesterday, Cochilco noted that it expects copper demand to remain robust, driven by the global shift towards cleaner energy solutions and the accelerated adoption of electric vehicles. In addition, the normalization of U.S. monetary policy too is predicted to support expectations of positive price for the metal during the year.

ALSO READ:

Chile Targets Million-Tonne Copper Boost in Tightening Market

Chile's Cochilco Cuts 2023 Copper Price Forecast to $3.85/Pound

The above factors are expected to sustain with increased momentum, thus driving the prices higher in the upcoming year as well. Looking ahead, Cochilco expects copper prices to average at $3.90 per pound in 2025.

The Commission predicts 5.7% surge in Chile’s copper production to 5.63 million tons in 2024, followed by higher production volume of 6 million tons in 2025. Meantime, the global copper output is predicted to surge higher by 5.8% to 22.79 million tons in 2024, which will again increase to touch 23.50 million tons next year.

Cochilco foresees a modest global copper surplus of 176,000 tons in 2024, which is likely to reduce slightly to 170,000 tons in 2025. The copper supplies need to be strategically managed, in order to prevent potential oversupply situation, it noted.