- LME copper hits record $11,200/t on supply strain
- India’s copper demand up 9.3% in FY’25: ICA India
Imported copper scrap prices in India rose w-o-w, tracking gains in London Metal Exchange (LME) futures. Meanwhile, domestic copper scrap prices edged higher amid muted demand and limited activity, as the market continued to recover from the post-festive lull.
According to BigMint’s assessment, Birch Cliff scrap was assessed at $10,395/tonne (t), up by 4% w-o-w, while US motors mix stood at $1,210/t (both CFR Mundra), up by $20/t w-o-w.
LME copper surges to record high
London Metal Exchange (LME) copper prices climbed to a record high on 29 October, supported by tightening global mine supply and improved sentiment ahead of the upcoming US-China trade talks, along with the Federal Reserve’s latest rate cut. Prices touched $11,200/tonne before closing at $11,183.50/tonne, marking a 25% gain so far this year. Persistent supply disruptions at major mines in Indonesia, the Democratic Republic of Congo, and Chile continue to strain the market, with Glencore lowering its 2025 output forecast to 850,000-875,000 tonnes.
Market updates
The imported copper scrap market held largely steady this week, supported by stable liquidity and balanced trading activity across major regional hubs. Market participants noted that transaction values followed the sharp uptrend in LME copper, which recently hit a record high of $11,146/t amid global supply disruptions and improving economic sentiment. The rally, driven by mine accidents in Chile and Indonesia and optimism around easing US-China trade tensions, helped stabilise payables after previous volatility.
Steady buying interest from Asian importers and consistent domestic demand in Europe further bolstered sentiment, with suppliers maintaining firm offers amid limited availability of high-grade material. The combination of tight physical supply and strong downstream demand continues to lend support to copper scrap prices in the international market.
India’s copper demand rises 9.3% in FY’25
India’s copper demand surged 9.3% y-o-y to 1,878 kilo tonnes (KT) in FY’25, up from 1,718 KT in FY24, driven by strong growth across infrastructure, building construction, clean energy, and consumer durables, according to the International Copper Association (ICA) India.
The infrastructure and construction sectors led the expansion with 17% and 11% growth, respectively, supported by government spending on urban development and housing. The renewable energy sector saw one of its highest capacity additions, while consumer durables demand jumped 19%, fuelled by record sales of air conditioners, fans, and appliances. The automotive sector, including EVs, grew 5%, with two- and three-wheelers posting a 16% increase, highlighting copper’s vital role in India’s clean mobility shift.
ICA India Managing Director Mayur Karmarkar said the surge reflects the nation’s industrial momentum and policies promoting sustainable infrastructure, energy transition, and mobility. He emphasised the need to strengthen domestic copper supply chains and fabrication capacity, positioning copper as a critical enabler for India’s long-term “Viksit Bharat @2047” vision.
Other updates
Glencore’s copper output drops
Glencore’s copper output continues to decline, now roughly 40% below 2018 levels, as production challenges persist at key sites like Chile’s Collahuasi mine, where water restrictions and lower ore grades have reduced output. Despite a strong Q3 rebound and plans to meet its full-year targets, the company has trimmed its 2025 copper forecast to 850,000-875,000 t. Meanwhile, Glencore is managing cobalt quotas from the DRC, prioritising copper production, and has paused its Australian renewable energy project amid cost pressures and a nickel price slump, reflecting broader operational and market challenges.
Outlook
Indian copper scrap prices are expected to stay firm in the near term, tracking record-high LME copper levels above $11,000/t. Post-festive demand recovery from the wire, cable, and engineering sectors should lend support, while premium grades like Birch Cliff may see stronger bids. Lower-grade scrap could remain subdued, but steady industrial demand and tight global supply are likely to keep overall market sentiment positive.
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