A report released October 20 by Bloomberg New Energy Finance (BNEF) says the copper industry needs approximately $332 billion in investment for new and expanded mines to prevent a severe supply shortfall. [5, 7] Copper demand is set to surge as the energy transition drives use in electric vehicles and data centers.
BNEF projects a supply gap of 20 million metric tons by 2050 without that investment. The report forecasts a market deficit by 2028, as electrification-driven demand outpaces declining output from existing mines with falling ore grades. [5]
The warning comes as extreme weather and labor disputes in Chile, the top producer, have hampered near-term production. [6, 11]