Copper nears record as demand climbs, sulfuric acid supplies tighten

Copper futures climbed above $6.29 per pound, approaching the record set in late January as expectations for sustained demand and tighter refining inputs pushed traders to buy the metal.

Market participants point to demand from artificial intelligence infrastructure, power‑grid upgrades, clean‑energy projects, electric vehicles and data centers. Copper is used in cables, transmission systems and other electrical components needed for those investments.

Lower energy prices have eased some concerns about global industrial demand, supporting sentiment for industrial metals.

Supply pressures have increased because sulfuric acid, an input used in copper leaching and refining, has faced disruptions. Conflict in the Middle East has interrupted shipments, and China has imposed an export ban on sulfuric acid from May through at least December. Analysts estimate Beijing’s restriction may remove about 3 million tonnes from the seaborne sulfuric acid market, which would affect refiners in countries such as Chile, Indonesia and India.

Chile’s copper production fell about 6% year‑over‑year in the first quarter of 2026. Refiners rely on sulfuric acid to process concentrate into refined copper, so reduced acid shipments would limit refining capacity in exposed regions.

In the Democratic Republic of Congo, China Railway Group Ltd. (CREC) has held discussions with Mines Minister Louis Watum about developing a copper project in Kasai‑Oriental province. The planned venture, involving a CREC subsidiary and state‑owned diamond company MIBA, targets annual output of 200,000 to 500,000 tonnes and would be located outside the traditional Katanga mining region.

Congo’s copper production has more than tripled over the past decade, and Chinese companies now account for most of the country’s output. The United States has been seeking to increase its presence in Congolese mining.

Traders and producers are monitoring sulfuric acid shipments, Chinese export policy and developments in Congo for signals about how quickly refined copper supply can expand to meet rising demand.