The mediation of Escondida copper mine is not going well? The union called on workers to prepare for strike

Published: Aug 6, 2021 10:04
[Escondida copper mine mediation is not going well? The union, which represents workers at Chile's Escondida copper mine, instructed its members on Thursday to prepare for a strike because of slow progress in government-mediated contract negotiations. In a statement to its members, the union said the proposal had not changed substantially and was far from meeting the improvements needed. The union called on workers to maintain unity and discipline and to be prepared for the final strike.

The union representing workers at Chile's Escondida copper mine on Thursday instructed its members to prepare for a strike because of slow progress in government-mediated contract negotiations.

Over the weekend, more than 2000 union members rejected the latest contract offer from owner BHP Billiton. Local law requires a five-day settlement after the contract is rejected, which may be extended by five days if no agreement can be reached.

In a statement to its members, the union said the proposal had not changed substantially and was far from meeting the improvements needed. The union called on workers to maintain unity and discipline and to be prepared for the final strike.

BHP said it had improved its offer and wanted to be closer to a deal.

BHP Billiton pointed out that on Wednesday, the company put forward a proposal for major improvements, including questions raised by the union. The company is currently waiting for a response. BHP believes the proposal will bring the position closer to a formal agreement.

The talks are taking place at a time when the global economic recovery is expected to lead to high copper prices. Chile is the world's largest copper producer.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
Tender Announcement for Beizhong Company 26.3.26 Copper Connector and Other Spare Parts (Annual Tender) Project
54 mins ago
Tender Announcement for Beizhong Company 26.3.26 Copper Connector and Other Spare Parts (Annual Tender) Project
Read More
Tender Announcement for Beizhong Company 26.3.26 Copper Connector and Other Spare Parts (Annual Tender) Project
Tender Announcement for Beizhong Company 26.3.26 Copper Connector and Other Spare Parts (Annual Tender) Project
54 mins ago
Shanghai-Guangdong Price Spread Continues to Widen, Cross-Regional Transfers Expected to Boost East China Spot Premiums [SMM Shanghai Spot Copper]
2 hours ago
Shanghai-Guangdong Price Spread Continues to Widen, Cross-Regional Transfers Expected to Boost East China Spot Premiums [SMM Shanghai Spot Copper]
Read More
Shanghai-Guangdong Price Spread Continues to Widen, Cross-Regional Transfers Expected to Boost East China Spot Premiums [SMM Shanghai Spot Copper]
Shanghai-Guangdong Price Spread Continues to Widen, Cross-Regional Transfers Expected to Boost East China Spot Premiums [SMM Shanghai Spot Copper]
[SMM Shanghai Spot Copper] Looking ahead to tomorrow, from the perspective of regional price spreads, the intraday Shanghai-Guangdong price spread widened further compared to yesterday, reaching 200 yuan/mt, with the theoretical arbitrage window now open. According to SMM, some suppliers have already begun relocating cargo from Shanghai warehouses to the Guangdong region to capture regional price spread gains. If spot premiums in Guangdong continue to remain strong, cross-regional cargo transfers will effectively divert available cargo from the Shanghai market, potentially providing marginal support for local spot discounts or even boosting spot premiums in Shanghai and other regions. Demand side, after consecutive declines in copper prices, downstream procurement sentiment recovered slightly, but overall purchasing remained dominated by rigid demand. Overall, under the combined effects of cross-regional arbitrage diversion and support from the inter-month price spread structure, Shanghai spot copper is expected to maintain a discount against the 2605 contract tomorrow. Going forward, attention should be paid to the transmission effect of Guangdong premiums on the east China market.
2 hours ago
Inventory Ended 24-Day Consecutive Decline and Edged Up, but Suppliers Still Held Prices Firm for Shipments [SMM South China Spot Copper]
2 hours ago
Inventory Ended 24-Day Consecutive Decline and Edged Up, but Suppliers Still Held Prices Firm for Shipments [SMM South China Spot Copper]
Read More
Inventory Ended 24-Day Consecutive Decline and Edged Up, but Suppliers Still Held Prices Firm for Shipments [SMM South China Spot Copper]
Inventory Ended 24-Day Consecutive Decline and Edged Up, but Suppliers Still Held Prices Firm for Shipments [SMM South China Spot Copper]
2 hours ago