Copper could be in short supply

Coming Copper squeeze

Copper could be in short supply in coming years, as demand grows for the metal — a key component in electric vehicles and wind turbines. Electric vehicles are expected to use 3.7 million tons of copper by 2040, according to Wood Mackenzie. EVs use three-and-a-half times more copper than cars with traditional internal combustion engines, and even more if the vehicle is larger. Copper is a “cornerstone of the EV revolution,” said Henry Salisbury, research analyst with Wood

Mackenzie. But based on current mine supply, Salisbury expects a copper supply gap to emerge in the mid-2020’s. Wind is the most copper-intensive form of power generation, and the global wind turbine fleet will consume more than 5.5 million tons of copper by 2028, according to Wood Mackenzie. Copper is also important for building grid infrastructure to support growing electricity demand from electric vehicles and renewable energy.