Published on : Apr 17, 2015
With China emerging as a key region for driving the demand from the global copper industry, Chile, world’s largest copper producing nation is looking at China. The Chilean copper producers attending the CESCO week are aware that though China has been the largest importer of copper, the import patterns are changing over the period of time. Chilean copper manufacturers are facing a number of problems affecting their business. Lowering of the worldwide copper prices accompanied by the recent heavy rains in Chile which stalled the operations at the copper mines has led the copper producers to be wary about the future growth of the industry in the region. The CESCO meet is expected to discuss the key factors affecting the business of the Chilean copper manufacturers as well as the change of demand pattern in China.
The present slow growth of the Chinese economy has led to the decrease in the commercial construction which has impacted the consumption of copper in the country. The copper financing trade in China has contributed to the low imports of copper. Import of scrap, a raw material input for copper producers and processors, has declined too. In 2007, 5.8 million tons of scrap was imported. However, it dropped to just 3.9 million tons last year. Also, the Chinese copper mines have started to improve after years of under-performance. Though China has been serving as the first resort for the Chilean copper producers, the latest changes in the Chinese copper industry are going to affect the copper prices.