The Chilean Copper Commission (Cochilco) on Thursday raised its average copper price estimates for both this year and next.
Cochilco now sees average copper prices this year at $4.30/lb, from $3.85/lb before. For next year, Cochilco estimates average copper prices around $4.25/lb, up from $3.90/lb before.
"Although the high price of copper discourages manufacturers from stocking up inventory, demand remains strong," Cochilco said in a report.
The commission said that from the beginning of March, the value of the red metal has risen due to multiple reasons. It mentioned the stoppage of First Quantum's copper mine in Panama, lower production expectations in Chile and Peru, and expectations that demand will outpace supply.
Cochilco projected a supply deficit of 364 000 metric tons of copper compared to demand for this year, and a deficit of 278 000 t for 2025.