Decline in China's Copper Exports Amidst Rebounding Domestic Demand

Decline in China's Copper Exports Amidst Rebounding Domestic Demand

In recent months, China, traditionally a leader in copper production and exports, has experienced a noticeable decline in its overseas shipments of this metal. According to federal customs data, copper exports fell to 474,000 tons in July, marking a sharp decrease compared to the record figures of previous months. This decline occurred against the backdrop of a resurgence in domestic demand, which has significantly increased in China following the end of strict quarantine measures imposed due to the COVID-19 pandemic.

Experts note that the reason for the drop in copper exports is linked to an increase in copper ore processing within the country. Producers have begun to focus more on domestic needs rather than export opportunities. This situation is also accompanied by high demand from local manufacturers, who are striving to meet the needs of the rapidly recovering economy.

According to analysts, the rebound in demand in China could have a significant impact on the global copper market. High inventory levels and anticipated increases in demand from other countries are also affecting price dynamics for the metal. Prices are expected to remain under pressure in the coming months unless export volumes begin to return to previous levels.

In light of this decline, industry experts highlight the need to ramp up production capacities to meet both domestic and external copper demands. Moreover, this may lead to changes on the global stage, where China has traditionally played a key role.