Global copper mine production increased marginally by 3.3% to 21.81 million tonne (mnt) over January-December, 2022 against 21.10 mnt seen in the same period last year, as per the International Copper Study Group (ICSG).
ICSG released preliminary data for the first 12 months (January-December) of 2022. It may be noted here that ICSG reports provide information on the global copper supply, demand and production aspects.
World’s copper mine production slightly up y-o-y
The world’s copper mine production increased by about 3.3% to 21.81 mnt in the first 12 months of 2022, against 21.10 mnt recorded in the same period last year, as per the release. Out of this, concentrate production increased by around 3% and solvent extraction-electrowinning (SX-EW) output rose by about 5% y-o-y.
At the start of 2022, constraints related to Covid-19 and prolonged rates of infection due to the Omicron variant restricted mine production in a number of countries. However, global mine output benefitted from higher production at new or expanded mines, as well as a recovery from lower output in 2021 due to stricter Covid-19-related limitations.
Amidst constrained output in the two significant copper mine producing countries, Chile and Peru, massive growth in other countries resulted in a 3.3% increase in global output in 2022. Chilean output fell by 5% (297,000 t of copper), with concentrate production dropping by 7% and SX-EW output remaining unchanged. Lost productivity due to Covid-19 infections, technical issues, lower grades, and decreased water supply due to a drought influenced a number of mines across the country. Output in 2022 stayed 8% lower than pre-Covid levels (2019).
World’s refined copper production up y-o-y
Global refined copper production increased to 25.67 mnt from 24.80 mnt in the first 12 months of 2022. Primary production (electrolytic and electrowinning from ores) was up by 4% to 21.46 mnt and secondary production (from scrap) was up by 1.4% to 4.21 mnt.
World’s refined copper consumption up y-o-y
Global refined copper consumption increased by about 3.12% to 26.04 mnt during January-December, 2022 from 25.25 mnt against the same period last year.
Covid-19-related curfews had a significant adverse impact on the global economy. As a result, key copper end-user markets in all regions faced difficulties except China. Even though, copper demand persisted to recover in 2022, consumption in a number of countries stayed below pre-pandemic levels.
Chinese demand increased by 6%, supported by a 9% rise in total refined copper imports.
In 2022, global refined consumption outside of China is expected to be largely unchanged.
Consumption has increased by 2% in the EU but fell by 2.5% in Japan and the United States.
Global refined copper stocks
The study further revealed that the world’s refined copper stocks in end-December stood at 1.38 mnt, a sharp rise of 14.05% from 1.21 mnt in the corresponding period last year (CPLY).
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