Chili raises her expectations for buyer by twice the offer

Chile, the largest copper producer in the world, has raised its expectations for the prices of the metal this year and the following year amid the decline of commercial tension, and the increasing indicators of deficit, suggesting that the market is moving to a lack of supplies. The Government Copper Committee in Chile, known as ‘Kochilco’, said in a report released on Wednesday that the average price of buyer will reach $ 4.30 per pound during 2025 and 2026, compared to its previous expectations of $ 4.25 a year. The quarterly expectations were delayed due to officials’ extra time to analyze the sharp fluctuations in the copper market recently. US futures are currently being traded at a little less than $ 4.70 per pound, after jumping to record levels of more than $ 5.20 at the end of March, due to buyers rushing to achieve consignments before the imposition of customs duties, but later withdrew two weeks ago to less than $ 420. According to the report, the rate of global supplies decreased and reached a ceasefire between the United States and China in customs duties, contributing to a minor improvement in commercial expectations. Kochilco expects global demand for buyer to grow by 2.3% this year. The mining industry also supports prices according to the supply, as the growth of global supply growth for this year is estimated at only 1.3%, a decrease in the previous expectation of 4.7%. The companies “Fribport-McMuran”, “Glencourt” and “Anglo American” all recorded a decline in production during the first quarter of 2025. Chile, which delivers about a quarter of the global stretched buyer, is part of disappointment on the presentation side. Kochilco now expects the country’s annual production by 3% during the current and next years, which is a slower rate than the previous estimates. According to a report issued by the “giveres” company based on the data of the companies covering it, the global copper mines produced in the first quarter of this year have almost the same amount produced in the same period last year, but it fell by 11.5% compared to the previous quarter due to seasonal factors. Analysts, including Christopher Lavimina, expect the growth of the supply to continue due to a decrease in raw quality. Meanwhile, Jeffrez analysts wrote in a memorandum on Wednesday: “Although there are risks of fluctuations in demand for the almost -term due to periodic factors, we are still optimistic in the medium term, in light of the growing world demand and major restrictions on the side of the supply.”