Copper prices are rising internationally

On January 2nd, Chile's "Messenger" (electronic version) reported that copper, as Chile's main export product, reached its highest annual average price in history in 2025, closing at $5.672 per pound on the last trading day. Plusming Mining Consulting stated that given the ongoing progress of electrification, power grid construction, and energy transformation, the structural demand for copper will remain strong in 2026. It is expected that copper prices will fluctuate within the range of $5 to $6 per pound, higher than the previously predicted $4.5 to $5 per pound. GEM Mining Consulting also predicts that copper prices will be between $5 and $6 per pound, mainly due to low inventory levels and uncertainty in the United States. The Center for Enterprise and Social Studies at the Development University of Chile stated that international organizations predict that the average copper price in 2026 will be $5.15 per pound due to the impact of global supply structural gaps. Experts say that for every 1 cent increase in copper prices each year, the Chilean government will receive an additional $20 million to $25 million in revenue through taxes from Codelco, the Chilean national copper company. This will also help strengthen the exchange rate of the Chilean peso, thereby reducing prices of fuel, food, and technical services. The high copper prices not only support mining investment and extend the lifespan of existing mines, but also highlight the core challenges faced by Chile, namely improving project execution capabilities, optimizing approval processes, and enhancing production efficiency.