Codelco's Copper Production Increased in Q1, Chairman Optimistic About Long-Term Demand Prospects

On Monday, April 7, Maximo Pacheco, chairman of Chile's state-owned copper producer Codelco, stated that the company increased its copper production in the first three months of the year and remains optimistic about the long-term prospects of global demand despite escalating global trade tensions. The world's largest copper producer slightly exceeded its production levels from the same period last year in Q1, maintaining its production guidance even after a nationwide power outage in February affected output. Pacheco previously mentioned in an interview, "Q1 production will be slightly higher than the same period last year." The company's copper production target for this year is between 1.37-1.4 million mt, aiming for a second consecutive year of production growth after hitting a 25-year low in 2023. Pacheco expressed confidence in the long-term demand for copper due to the global energy transition, despite short-term volatility in the commodity market following the imposition of comprehensive tariffs by US President Trump. "I believe the long-term fundamentals are very strong and unlikely to change. I understand the market and people's nervousness, but our approach is different," he said. He added that Codelco is seeking to maintain its flexibility despite global demand fluctuations. The company stated last week that it has been selling more spot copper to the US as buyers stockpile ahead of potential tariffs. "We must have a flexible and diversified vision and provide excellent service to our customers," Pacheco noted. Codelco is also looking to strengthen ties with India, having reached a supply agreement with the Adani Group last week. "We will continue to expand our business in India," Pacheco said. The company is also in talks with Saudi Arabia, which Pacheco noted is very interested in copper and lithium, both crucial for EV manufacturing. "They are very interested in Chile and in Codelco," he said. He mentioned that the hours-long power outage in Chile in February, which caused a nationwide mining shutdown, resulted in a loss of approximately 5,000-7,000 mt of copper production for Codelco, but the company managed to compensate for the shortfall. "This does not mean that Q1 production will be lower than last year," he stated. For more updates on the copper industry chain, you are invited to attend the CCIE 2025 SMM (20th) Copper Industry Conference and Copper Industry Expo, hosted by SMM, which will be held grandly in Nanchang, Jiangxi from April 22-25, 2025. Over 3,000 industry elites, representatives from upstream and downstream enterprises of the copper industry chain, government officials, industry associations, third-party equipment, logistics and warehousing, and academic experts will gather together. The conference covers mining, smelting, copper processing, trade, recycling, and end-use applications, encompassing the entire copper industry chain. At the event, more than 100 exhibitors will showcase the latest copper processing and smelting equipment, high-quality raw material suppliers, and new-type copper-based materials, highlighting the innovation and vitality of the copper industry. The conference features a variety of exciting activities: the main forum focuses on global copper market trends, raw material supply, policy impacts, and market direction. Sub-forums delve into specific areas such as electrical power transmission and distribution, secondary copper, copper-based new materials, hardware and plumbing, and ESS, exploring industry hot topics. The event also includes a two-day field trip to 12 representative enterprises in the copper industry with a cumulative production of 1 million mt, sharing cutting-edge technologies and valuable experiences to promote the upgrading of the copper industry chain and drive high-quality industry development. The CCIE 2025 SMM (20th) Copper Industry Conference and Copper Industry Expo will help you grasp industry trends, expand your network, and explore business opportunities! SMM cordially invites you to join us in Nanchang, Jiangxi from April 22-25, 2025, to gather in the new era of copper and jointly plan for new developments!