Copper is expected to be the top-performing industrial metal in 2025 due to a combination of supply constraints and increased manufacturing demand.
Analysts predict that copper prices could reach $11,000 per metric ton by the end of the year, driven by a projected deficit in global market balances. The growth of refined copper production is expected to be limited, while demand is estimated to grow by 3.4%. The global economic recovery, particularly in manufacturing activity, is expected to support copper prices.
China, as the largest consumer of copper, will play a crucial role in the market dynamics. Compared to other industrial metals, copper's outlook appears stronger due to its essential role in sectors such as renewable energy infrastructure and electric vehicles.
However, there are potential risks that could impact the forecast, such as a deterioration in global economic conditions. Stakeholders need to be aware of these dynamics to navigate the industrial metals landscape effectively.
Overall, the interplay of supply and demand factors will shape the copper market in the coming years, with China and the broader economic landscape playing significant roles.