SHANGHAI, Mar 2 (SMM) – Copper prices rose on Tuesday after top copper producer Chile recorded its lowest January output since 2011.

Data showed that Chile’s copper output fell by 15% MoM and 7.5% YoY in January 2022. But the cause for the drop is not provided.

The Comex May copper contract rose by 2.9% to $10,087/mt on Tuesday.

The conflict in Ukraine could also push copper prices higher, according to an S&P Global report.

Russia is a major metals producer in the world, and more sanctions are likely to be imposed as the conflict continues.

"Market sources believe that tougher sanctions on trade with Russia are almost certain to be imposed, which could further squeeze supply, leading to deficits in some cases,” according to the report.

"In the short term, metals markets remain at the mercy of the situation in Ukraine, moving back and forth between risk-off and risk-increasing dynamics,” said Gianclaudio Torlizzi, a partner at the Milan-based consultancy T-Commodity.