Cochilco Raises Copper Price Forecasts for This Year and Next to Record Highs

On Wednesday, November 19, due to weak production, the Chilean Copper Commission (Cochilco) raised its copper price forecasts for 2025 and 2026 to record highs.

Cochilco now expects the average copper price in 2025 to be $4.45 per pound and has raised its 2026 forecast to $4.55 per pound, up from previous projections of $4.30 per pound.

Victor Garay, Cochilco's Mining Market Coordinator, stated that the latest forecasts are the highest copper prices ever predicted by the commission. The commission also expects copper prices to maintain an upward trend at least until 2030, as supply lags behind demand.

He also noted that risks such as tariff adjustments or changes in demand trends remain.

Cochilco indicated that supply reductions were caused by underperformance at the large Collahuasi mine, a joint venture between Anglo American and Glencore, decreased production at Anglo American Sur, and an accident at Codelco's flagship El Teniente mine.

Cochilco expects Chile's copper production to grow by only 0.1% this year to 5.51 million mt and by 2.5% in 2026 to 5.6 million mt.

Garay said that other projects will compensate for the decline in El Teniente's output in the future, with Chile's production potentially reaching 5.9 million mt in 2027.

Cochilco stated that copper demand will continue to grow, but the growth momentum is weakening.

(Wenhua Composite)