Latest news with #Arriagada
Yahoo
09-04-2025
- Business
- Yahoo
Chile's Antofagasta predicts strong copper demand despite tariff uncertainty
Chilean mining giant Antofagasta's CEO, Ivan Arriagada, has stated that the recent US tariffs have sparked a potential risk for metal demand, particularly copper, although demand from data centres, renewable energy and AI could potentially compensate for any losses from traditional sectors. Arriagada noted that the resilience of the copper market could withstand the trade war's effects, reported Reuters. He stated that Chile, as the world's leading copper producer and a significant supplier to the US, may evade these tariffs due to its trade surplus with the US and its status as a free-trade partner. During the CESCO copper conference in Santiago, Arriagada also highlighted the limited supply of copper, essential for construction and the transition to a greener economy. Arriagada suggested that Trump's policies may create a more favourable investment climate for mining. 'In the current environment, where there is a lot more support for mining investment, it should be easier and should happen,' Arriagada said, although he acknowledged the absence of tangible progress. Antofagasta, with operations across four mines in Chile and a development project in the US, aims for a production target of 660,000–700,000 tonnes (t) this year. The company's Twin Metals project in Minnesota faces legal challenges regarding permits, but Arriagada remains hopeful. The US exempted steel, aluminium and copper from reciprocal tariffs, effective from 5 April 2025. The US administration is currently considering additional tariffs, although no specific measures for copper have been announced. In anticipation of Trump's tariff announcement, US clients have been stockpiling resources. Arriagada revealed that Antofagasta sent a modest additional amount of copper to the US, without disclosing specifics. In March 2025, copper prices surged more than 5% in New York, outpacing global benchmarks, after President Trump announced a possible 25% tariff on metal imports. "Chile's Antofagasta predicts strong copper demand despite tariff uncertainty" was originally created and published by Mining Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Reuters
08-04-2025
- Business
- Reuters
Chile's Antofagasta expects copper demand to defy tariff turmoil
SANTIAGO, April 8 (Reuters) - The trade war stirred by U.S. tariffs raises a risk for metal demand, the head of Chile's Antofagasta (ANTO.L), opens new tab said, although he predicted AI and other technology could offset any loss of traditional consumption caused by economic weakness. He also said President Donald Trump's policies could lead to a more favourable environment for investment in mining. Trump's announcement of tariffs last week, followed by retaliation from China, has caused turmoil on financial markets and sent copper prices plunging. Antofagasta CEO Ivan Arriagada said in an interview on the sidelines of the CESCO copper conference in Santiago that he expected supplies of copper, needed for construction and the transition to a lower carbon economy, would remain in limited supply. That meant he was more concerned about the impact on the wider economy of the trade war, which could ultimately reduce copper demand, than the resilience of the copper market itself. Should a global economic slowdown destroy demand for copper from construction and infrastructure, Arriagada said he expected use by data centers, renewable energy and AI to compensate. Trump has yet to announce special measures for copper, but his administration is looking into potential tariffs. Arriagada said Chile, the world's biggest copper producer, was in a good position to avoid U.S. tariffs as the United States has a trade surplus with Chile, a free-trade partner that provides more than half of U.S. copper imports. London-listed Antofagasta operates four copper mines in Chile and is developing a mine in the United States. It targets output of 660,000 to 700,000 metric tons this year, after producing 664,000 tons last year. Its Twin Metals copper and nickel mine project in Minnesota needs to resolve a lawsuit over permitting, and then obtain the necessary approvals. "In the current environment, where there is a lot more support for mining investment, it should be easier and should happen," Arriagada said, although he added there was no sign yet of progress. As U.S. clients rushed to stockpile in many sectors ahead of Trump's announcement last week, Antofagasta sent only a small additional amount of copper to the United States, Arriagada said, without giving details.
