Copper output from the world’s largest producers, Chile and Peru, declined in July on an annual basis, according to the Chilean Copper Commission (Cochilco) and Peru’s National Statistical Institute (Inei).
Chile
Copper production decreased by 4.6pc to 467,913mt in July of this year from 490,400mt a year ago, according to Cochilco’s statement on September 1. Prices reached $3.04/lb on September 2, down by 1pc from the day prior.
Chile’s copper output is expected to reach 5.87mn mt this year, while production in 2021 is expected to rise by 0.7pc on an annual basis to 5.91mn mt of copper, Cochilco said. Chile has lowered its copper price guidance by 45¢/lb to $2.40/lb because the national copper industry has been struggled amid the COVID-19 pandemic, among other challenges, such as water shortages and declining ore recovery.
Peru
Copper output was down by 2.2pc to 198,796mt in July compared to the same period last year, Inei said without disclosing prior year volumes.
Inei added that the production of lead, iron ore, and zinc also fell by 16.5pc, 7.7pc, and 5.6pc, respectively, in July compared to the same month last year. Peru’s mining industry comprises 9pc of the country’s gross domestic product and 60pc of its exports, with copper being the most valued export.