World Copper Market Ended in Deficit of 195,000t

SEATTLE (Scrap Monster): The preliminary copper supply and demand data published by the International Copper Study Group (ICSG) for the month of November last year indicates that world refined copper market ended in deficit of 195,000t at the end of the eleven-month period in 2017.

The world copper mine production has declined by nearly 2.4% during Jan-Nov ’17. Chile-the world’s biggest mine producer, reported 1.6% decline in output, mainly due to labor strike at Escondida mine and falling output from Codelco mines. The concentrate output by Argentina tumbled by 57%, primarily on account of reduced production from Alumbrera mine. Concentrate production from Canada and Mongolia too recorded 15% fall. Ban on exports, imposed by the Indonesian administration led to 14.5% decline in concentrate output by that country. Also US output registered 12% decline. The above declines were partially offset by 30.5% and 3.7% surge in mine output by Kazakhstan and Peru respectively.

The world refined copper production increased slightly by 0.5% during the first eleven months of 2017. The primary production witnessed 1.5% decline, whereas the secondary production from scrap surged higher by 9%. China was the key contributor to the growth in refined production. Increased availability of scrap boosted Chinese refined production by 5%. India too reported 6.5% jump in refined output. However, the overall growth was offset by declines in other regions. The refined output declined by 7% in Chile. The US and Japan recorded production decline by 11% and 4% respectively.

According to ICSG, the world apparent usage witnessed marginal jump by 0.6% during the first eleven months of 2017. The refined copper balance during this period indicates a deficit of around 195,000t.