Analysis: Copper may face structural shortages in 2026, and prices could remain strong

PANews December 29 News, the price of copper in 2025 has increased by over 30%, and in December it broke the historical high of $12,000 per ton, marking the largest annual increase since 2009. Analysts expect that the global shift to renewable energy, electrification, and AI data center construction will continue to drive copper demand growth, and prices may remain strong in 2026. StoneX senior metal demand analyst Natalie Scott-Gray stated that high copper prices may lead manufacturers to seek alternatives, and demand in some non-essential sectors could be suppressed. Marex basic metals strategist Alastair Munro pointed out that the market widely anticipates a structural copper shortage starting in 2026. Additionally, US tariff policies have triggered a surge of copper imports, with Comex inventories rising to a record high, while European LME inventories fell below 20,000 tons, creating regional supply and demand tensions. Benchmark Mineral Intelligence analyst Albert Mackenzie believes that the surge in US inventories has ignited supply concerns. Macquarie Group strategist Alice Fox predicts that copper prices will continue to stay high in 2026. Earlier news, London copper prices broke through $12,000 per ton, reaching a new all-time high.