Commodity Bytes #1 Copper
START
EU Copper Sector
Powering Europe's green and digital future
Overview
Potential EU demand by 2040
The rare-earth elements (REEs) are a group of 17 elements that exhibit special electronic, magnetic, catalytic and optical properties categorised into Light REEs( LREEs) and Heavy REEs (HREEs)
Current external dependancy
Value Chain
5.3mt
55%
(CEPS, 22)
*refined copper needs
EU Supply at a glance
Demand Scenarios
Copper is a strategic material for Europe’s energy transition, electrification, digitalisation and industrial resilience. Demand is expected to grow significantly by 2040 as the EU expands renewable energy systems, power grids, electric mobility, heat pumps, defence capabilities and digital infrastructure.
Copper is a strategic material for Europe’s energy transition, electrification, digitalisation and industrial resilience. Demand is expected to grow significantly by 2040 as the EU expands renewable energy systems, power grids, electric mobility, heat pumps, defence capabilities and digital infrastructure.
Copper Trading
Strategic Takeaways
Strategic Takeaways
Source: IWCC, ICSG
Text button
Text button
Text button
Commodity Bytes #1
Copper Value Chain
Explore the Copper Value Chain from extraction to recycling. Click each stage to learn more about EU presence, partners, and key companies.
Overview
Value Chain
EU Supply at a glance
Demand Scenarios
Copper Trading
Strategic Takeaways
Strategic Takeaways
Smelting & Refining
End Use
Recycling
Fabrication
Mining
Recycling
Extraction of copper ore from the earth
Processing of copper into refined concentrate (cathodes)
Manufacturing of semi-finished copper products
Copper used in wide range of applications and industries
Collection and reprocessing of copper scrap into new products
Collection and reprocessing of copper scrap into new products
Click to see the Copper Value Chain
Click to see the Copper Value Chain
Click to see the Copper Value Chain
Commodity Bytes #1
EU Supply at a glance
Europe relies on a combination of domestic and external sources. Current EU Copper Supply Pattern (2024)
Overview
Value Chain
EU Supply at a glance
Domestic copper mining EU copper mine production: 763 kt. Production concentrated in a limited number of Member States.
Net imports of copper concentrates Net imports: 752 kt copper equivalent. Imports mainly originate from:
Brazil, Peru, Chile, Indonesia, Turkey.
Net imports of refined copper cathodes Net imports: 502 kt. Main suppliers:
Chile, Democratic Republic of Congo, Peru, Serbia.
Copper scrap flows Post-consumer scrap collected in the EU: ~1.6 Mt. Additional pre-consumer scrap available: ~370 kt. Scrap imports into the EU: 407 kt. Scrap exports from the EU: 604 kt.
Demand Scenarios
Copper Trading
Strategic Takeaways
Strategic Takeaways
4 Supply levers
Increasing EU mining
Increasing EU mining
No mining. ~1,000 tonnes of magnet production a year. And the largest single buyer of Chinese magnets on the planet. That's Europe's rare earth supply position today — with demand set to triple by 2030
Commodity Bytes #1
Copper Demand to 2040
Rare earth magnet demand is set to grow steeply
as electrification, offshore wind, robotics, AI infrastructure and defence
capacity expand — both in China and outside it
Overview
Value Chain
EU demand for NdFeB permanent magnets
Recycling's potential share of EU NdFeB demand
EU Supply at a glance
To 2030
8–19%
Demand Scenarios
Copper Trading
To 2030
Large volumes of EV and wind-turbine magnets finally reach end-of-life; by 2050 EVs alone could supply ~57% of all recyclable magnet feedstock
Strategic Takeaways
Strategic Takeaways
EU magnet production target:
Source: IWCC, ICSG
EU magnet production target: ERMA's roadmap calls for scaling EU output from ~500 tonnes today to 7,000 tonnes by 2030 — enough to cover roughly 20% of projected EU magnet demand across all applications. It's a deliberately partial target: not full independence from China, but enough domestic capacity to build resilience and negotiating leverage.
Text button
Commodity Bytes #1
Copper Trading
Metal traders also play an important role in the flow of cathodes, bringing liquidity to the market
and engaging in price arbitrage between the three copper exchanges (LME, COMEX and SHFE).
Why rare earths don't trade like other commodities
Overview
Metal traders also play an important role in the flow of cathodes, bringing liquidity to the market
and engaging in price arbitrage between the three copper exchanges (LME, COMEX and SHFE).
Copper and oil trade on open exchanges with a transparent, public price. Rare earths don't
Value Chain
No open exchange. There's no rare earth equivalent of the London Metal Exchange — no deep, globally trusted venue where price is set by competing buyers and sellers.
Prices are administratively set, not market-discovered. With ~90%+ of refining and magnet production inside one country, Chinese domestic pricing — shaped by state ownership and subsidies — effectively is the global price.
Export controls override price entirely. On a normal market, paying more gets you supply. With rare earths, a licensing requirement can block a transaction regardless of price — the binding constraint isn't cost, it's government permission. EU Supply at a glance
Demand Scenarios
Copper Trading
Strategic Takeaways
Strategic Takeaways
Major Copper Traders
The EU's response
EU Critical Raw Materials Act (CRMA): 25% recycling target for critical minerals; rare earth content labelling + minimum recycled-content obligations phased 2028-2032
Planned (Q2 2026) proposal under RESourceEU to restrict exports of EU permanent-magnet scrap and waste — keeping EU secondary feedstock inside the EU
Commodity Bytes #1
Copper Trading
Overview
Metal traders handle about 50% of the seaborne flow of copper concentrates (estimated at 35 million tonnes) and have developed an expertise in price arbitrage, financial and quality risk management, supply logistics.
Metal traders also play an important role in the flow of cathodes, bringing liquidity to the market
and engaging in price arbitrage between the three copper exchanges (LME, COMEX and SHFE).
Value Chain
Globally, magnet manufacturing has the widest capacity gap of any stage (the IEA's ×6 figure below) — largely because most non-China regions have close to zero magnet capacity at all. The EU is a partial exception: it already has a small but real magnet-making base (Vacuumschmelze/Neorem, Magneti Ljubljana, Schramberg — see Scene 2). Europe's more specific bottleneck sits one stage earlier, at metal refining/metallisation — where the EU currently has no operating capacity at all, and only one newly-announced project (USA Rare Earths/Less Common Metals, Lacq) in the pipeline. That's exactly why Europe's own projects (La Rochelle, Silmet, Lacq, Narva) matter so much
EU Supply at a glance
Meeting non-China magnet REE demand by 2035 requires ~USD 60 billion of investment, public + private, over the next decade
Demand Scenarios
Copper Trading
Copper Trading
Strategic Takeaways
Refining ≈ half of total investment need; magnet manufacturing ≈ one-third
Text button
Text button
Capital intensity: ~USD 100,000/tonne for mining, ~USD 200,000/tonne for refining — among the highest of any energy mineral; hard-rock mining projects cost roughly 2× the capital and 3× the operating cost of ionic-clay projects
Text button
Text button
France/Europe hold bauxite residue ("red mud") stocks containing up to ~270,000 tonnes of REE — described by CNRS as potentially "significantly meeting European needs, at least in the short term
[IEA'26] Chapter 3, table titled "Estimated production for selected rare earth projects outside China"
Commodity Bytes #1
Strategic Takeaways
- Limited domestic mining
- Reliance on imported concentrates and cathodes
- Exposure to external suppliers
- Scrap exports reduce recycling potential
- Advanced recycling ecosystem
- Established smelting and refining base
- Strong manufacturing base
- Expertise in processing and fabrication
- Limited domestic mining
- Reliance on imported concentrates and cathodes
- Exposure to external suppliers
- Scrap exports reduce recycling potential
- Limited domestic mining
- Reliance on imported concentrates and cathodes
- Exposure to external suppliers
- Scrap exports reduce recycling potential
Overview
Value Chain
EU Supply at a glance
Demand Scenarios
Copper Trading
Strategic Takeaways
Where the EU is strong
Where the EU is strong
Where the EU is strong
Where the EU is strong
Strategic Takeaways
Recommended Actions
Expand EU mining responsibly Capture more urban mine value Invest in smelting/refining Secure international partnerships
Reduce strategic supply vulnerabilitiesExpand recycling capacity and stop scrap leakageTargeted partnerships via the CRM Act and Global Gateway
Commodity Bytes #1
Mining
Copper ore is extracted from open-pit and underground mines. Before mining begins, companies must identify deposits, assess feasibility, secure permits, and develop infrastructure. Mine development can take more than a decade. The EU combines domestic copper mining with imports of copper concentrates and refined copper cathodes to meet industrial demand. Access to concentrates is becoming a strategic bottleneck.
Key EU Companies
European Presence
Limited
Boliden, KGHM Polska Miedź
Limited domestic mining capacity however new mining opportunities have been identified.
Strategic Insights
Key Partner Countries
- EU mining can increase its contribution to European copper supply but remains structurally limited in scale.
- Ore grade depletion and long permitting timelines remain key constraints.
- New mining projects can partially reduce import dependency.
- Strategic international partnerships will remain necessary to secure future copper supply.
EU: Mining activity is focused on Poland, Sweden, Finland, Portugal, Spain Non-EU: Concentrates - Brazil, Peru, Chile, Indonesia
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Smelting & Refining
Smelting and refining transform copper concentrates and recycled scrap into refined copper cathodes used by European industry. The EU combines primary metallurgy using mined concentrates with secondary metallurgy using recycled copper scrap, making recycling an important component of Europe’s copper supply. .
Key EU Companies
European Presence
Neo Performance Materials
Strong
The EU possesses significant smelting and refining capacity distributed across several Member States, including Germany, Poland, Sweden & Spain.
Key Insights
Key Partner Countries
- Smelting and refining are strategic industrial capabilities for the EU copper ecosystem.
- Secondary metallurgy already plays a major role in European copper production.
- Increasing recycling volumes could strengthen Europe’s supply resilience.
Refined Cathode supply: Chile, Democratic Republic of Congo, Peru, Serbia
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Mining
Copper ore is extracted from open-pit and underground mines. Before mining begins, companies must identify deposits, assess feasibility, secure permits, and develop infrastructure. Mine development can take more than a decade. The EU combines domestic copper mining with imports of copper concentrates and refined copper cathodes to meet industrial demand. Access to concentrates is becoming a strategic bottleneck.
Key EU Companies
European Presence
Boliden, KGHM Polska Miedź
Limited
Limited domestic mining capacity however new mining opportunities have been identified.
Strategic Insights
Key Partner Countries
- EU mining can increase its contribution to European copper supply but remains structurally limited in scale.
- Ore grade depletion and long permitting timelines remain key constraints.
- New mining projects can partially reduce import dependency.
- Strategic international partnerships will remain necessary to secure future copper supply.
EU: Mining activity is focused on Poland, Sweden, Finland, Portugal, Spain Non-EU: Concentrates - Brazil, Peru, Chile, Indonesia
Recycling
Recycling is a major component of the European copper value chain and plays a central role in reducing external supply dependency. Copper can be recycled repeatedly without loss of performance, allowing secondary copper production to complement primary mining supply. The EU recycling system combines: direct melt of high-grade scrap, and secondary metallurgy for lower-grade scrap requiring refining.
Key EU Companies
European Presence
Europe possesses advanced collection, sorting, recycling, smelting & refining capabilities for copper scrap. Approximately 1.6 Mt of post-consumer scrap is collected annually in the EU, plus around 370 kt of pre-consumer scrap.
Aurubis, Metallo Group (recently purchased by Arubis), Boliden, KGHM
High potential, currently underdeveloped
Key Insights
- Recycling represents one of the strongest levers available to improve European copper supply resilience.
- The EU remains a net exporter of copper scrap despite strong domestic recycling capabilities.
- Increasing scrap retention within Europe could significantly strengthen secondary copper production.
- Direct melt and secondary refining are complementary recycling routes within the EU copper ecosystem.
Key Partner Countries
Scrap imports into the EU: Main import origins include: United Kingdom, United States, Switzerland Norway Scrap export destinations: Main destinations for EU scrap exports include: China, India, United Kingdom
End Use
Copper is used across modern infrastructure and technology systems because of its electrical conductivity, durability, thermal performance, and recyclability. Major applications include: electric vehicles, wind turbines, solar systems, power grids, data centres, defence technologies, and buildings. There is growing copper demand across several “focus applications” linked to decarbonisation, digitalisation and increased defence spending.
Key EU Companies
European Presence
Nexans, Prysmian, Siemens EnergySchneider Electric, Legrand
Strong
Strong industrial demand base. power cables, transformers, electric vehicles, heat pumps and renewable energy systems among the most important drivers of future copper demand growth.
Key Insights
Key Partner Countries
- Maintaining industrial capacity in strategic downstream sectors will influence future European copper demand.
- Copper embedded in infrastructure, buildings and equipment represents a growing long-term “urban mine” for future recycling.
Europe remains connected to global manufacturing and supply chains for: renewable energy equipment, batteries, electrical equipment, and transport technologies
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Fabrication
Refined copper cathodes are transformed into semi-finished products such as wire rod, tubes, bars, sheets and foil, which are then used across strategic industrial sectors. Copper plays a central role in electrification, renewable energy systems, power infrastructure, transport systems and industrial equipment.
Key EU Companies
European Presence
Strong
Nexans, Prysmian, Wieland
Strong industrial manufacturing base using copper in: Power infrastructure renewable energy, buildings & construction, industrial equipment, transport systems, electrical applications. Europe also possesses advanced collection, sorting and recycling capabilities for copper scrap.
Key Insights
Key Partner Countries
- Electrification and energy transition are expected to drive future copper demand growth.
- Recycling is one of Europe’s strongest levers for improving copper supply resilience.
- The EU remains a net exporter of copper scrap despite significant domestic recycling capabilities
Key destinations for exported copper scrap include: China, India, United Kingdom
This paragraph is ready to be filled with incredible creativity, experiences, and stories.
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Subtitle
Trading Challenges
permanent magnets account for ~95% of total rare earth consumption by value
Increased EU mining activity
Increased EU mining activity
Increased EU mining activity
Ore — the raw rock dug out of the ground. It contains rare earth minerals mixed in with a lot of unwanted rock.
Carbonate — after the ore is crushed and treated with chemicals, the rare earths come out as a solid called a mixed carbonate. It's more refined than ore, but the different rare earth elements are still all jumbled together.
Oxide — heating the carbonate drives off water and CO2, turning it into rare earth oxide. This is the most common form rare earths are traded in, and it's what comes out of the Separation stage in our value chain — now split into individual elements, like neodymium oxide.
Metal — oxide still isn't magnet-ready. One more step (metallisation) converts it into pure rare earth metal, which can finally be alloyed and made into a magnet.
Subtitle
Subtitle
Subtitle
Subtitle
EIT Commodity Bytes #2 REE
Adnan
Created on July 1, 2026
Start designing with a free template
Discover more than 1500 professional designs like these:
View
Company report
View
Press Clipping
View
Creative Report
View
Growth Plan
View
Mailing Campaign Report
View
Economic report
View
Social Media Plan
Explore all templates
Transcript
Commodity Bytes #1 Copper
START
EU Copper Sector
Powering Europe's green and digital future
Overview
Potential EU demand by 2040
The rare-earth elements (REEs) are a group of 17 elements that exhibit special electronic, magnetic, catalytic and optical properties categorised into Light REEs( LREEs) and Heavy REEs (HREEs)
Current external dependancy
Value Chain
5.3mt
55%
(CEPS, 22)
*refined copper needs
EU Supply at a glance
Demand Scenarios
Copper is a strategic material for Europe’s energy transition, electrification, digitalisation and industrial resilience. Demand is expected to grow significantly by 2040 as the EU expands renewable energy systems, power grids, electric mobility, heat pumps, defence capabilities and digital infrastructure.
Copper is a strategic material for Europe’s energy transition, electrification, digitalisation and industrial resilience. Demand is expected to grow significantly by 2040 as the EU expands renewable energy systems, power grids, electric mobility, heat pumps, defence capabilities and digital infrastructure.
Copper Trading
Strategic Takeaways
Strategic Takeaways
Source: IWCC, ICSG
Text button
Text button
Text button
Commodity Bytes #1
Copper Value Chain
Explore the Copper Value Chain from extraction to recycling. Click each stage to learn more about EU presence, partners, and key companies.
Overview
Value Chain
EU Supply at a glance
Demand Scenarios
Copper Trading
Strategic Takeaways
Strategic Takeaways
Smelting & Refining
End Use
Recycling
Fabrication
Mining
Recycling
Extraction of copper ore from the earth
Processing of copper into refined concentrate (cathodes)
Manufacturing of semi-finished copper products
Copper used in wide range of applications and industries
Collection and reprocessing of copper scrap into new products
Collection and reprocessing of copper scrap into new products
Click to see the Copper Value Chain
Click to see the Copper Value Chain
Click to see the Copper Value Chain
Commodity Bytes #1
EU Supply at a glance
Europe relies on a combination of domestic and external sources. Current EU Copper Supply Pattern (2024)
Overview
Value Chain
EU Supply at a glance
Domestic copper mining EU copper mine production: 763 kt. Production concentrated in a limited number of Member States.
Net imports of copper concentrates Net imports: 752 kt copper equivalent. Imports mainly originate from: Brazil, Peru, Chile, Indonesia, Turkey.
Net imports of refined copper cathodes Net imports: 502 kt. Main suppliers: Chile, Democratic Republic of Congo, Peru, Serbia.
Copper scrap flows Post-consumer scrap collected in the EU: ~1.6 Mt. Additional pre-consumer scrap available: ~370 kt. Scrap imports into the EU: 407 kt. Scrap exports from the EU: 604 kt.
Demand Scenarios
Copper Trading
Strategic Takeaways
Strategic Takeaways
4 Supply levers
Increasing EU mining
Increasing EU mining
No mining. ~1,000 tonnes of magnet production a year. And the largest single buyer of Chinese magnets on the planet. That's Europe's rare earth supply position today — with demand set to triple by 2030
Commodity Bytes #1
Copper Demand to 2040
Rare earth magnet demand is set to grow steeply as electrification, offshore wind, robotics, AI infrastructure and defence capacity expand — both in China and outside it
Overview
Value Chain
EU demand for NdFeB permanent magnets
Recycling's potential share of EU NdFeB demand
EU Supply at a glance
To 2030
8–19%
Demand Scenarios
Copper Trading
To 2030
Large volumes of EV and wind-turbine magnets finally reach end-of-life; by 2050 EVs alone could supply ~57% of all recyclable magnet feedstock
Strategic Takeaways
Strategic Takeaways
EU magnet production target:
Source: IWCC, ICSG
EU magnet production target: ERMA's roadmap calls for scaling EU output from ~500 tonnes today to 7,000 tonnes by 2030 — enough to cover roughly 20% of projected EU magnet demand across all applications. It's a deliberately partial target: not full independence from China, but enough domestic capacity to build resilience and negotiating leverage.
Text button
Commodity Bytes #1
Copper Trading
Metal traders also play an important role in the flow of cathodes, bringing liquidity to the market and engaging in price arbitrage between the three copper exchanges (LME, COMEX and SHFE).
Why rare earths don't trade like other commodities
Overview
Metal traders also play an important role in the flow of cathodes, bringing liquidity to the market and engaging in price arbitrage between the three copper exchanges (LME, COMEX and SHFE).
Copper and oil trade on open exchanges with a transparent, public price. Rare earths don't
Value Chain
EU Supply at a glance
Demand Scenarios
Copper Trading
Strategic Takeaways
Strategic Takeaways
Major Copper Traders
The EU's response
EU Critical Raw Materials Act (CRMA): 25% recycling target for critical minerals; rare earth content labelling + minimum recycled-content obligations phased 2028-2032
Planned (Q2 2026) proposal under RESourceEU to restrict exports of EU permanent-magnet scrap and waste — keeping EU secondary feedstock inside the EU
Commodity Bytes #1
Copper Trading
Overview
Metal traders handle about 50% of the seaborne flow of copper concentrates (estimated at 35 million tonnes) and have developed an expertise in price arbitrage, financial and quality risk management, supply logistics.
Metal traders also play an important role in the flow of cathodes, bringing liquidity to the market and engaging in price arbitrage between the three copper exchanges (LME, COMEX and SHFE).
Value Chain
Globally, magnet manufacturing has the widest capacity gap of any stage (the IEA's ×6 figure below) — largely because most non-China regions have close to zero magnet capacity at all. The EU is a partial exception: it already has a small but real magnet-making base (Vacuumschmelze/Neorem, Magneti Ljubljana, Schramberg — see Scene 2). Europe's more specific bottleneck sits one stage earlier, at metal refining/metallisation — where the EU currently has no operating capacity at all, and only one newly-announced project (USA Rare Earths/Less Common Metals, Lacq) in the pipeline. That's exactly why Europe's own projects (La Rochelle, Silmet, Lacq, Narva) matter so much
EU Supply at a glance
Meeting non-China magnet REE demand by 2035 requires ~USD 60 billion of investment, public + private, over the next decade
Demand Scenarios
Copper Trading
Copper Trading
Strategic Takeaways
Refining ≈ half of total investment need; magnet manufacturing ≈ one-third
Text button
Text button
Capital intensity: ~USD 100,000/tonne for mining, ~USD 200,000/tonne for refining — among the highest of any energy mineral; hard-rock mining projects cost roughly 2× the capital and 3× the operating cost of ionic-clay projects
Text button
Text button
France/Europe hold bauxite residue ("red mud") stocks containing up to ~270,000 tonnes of REE — described by CNRS as potentially "significantly meeting European needs, at least in the short term
[IEA'26] Chapter 3, table titled "Estimated production for selected rare earth projects outside China"
Commodity Bytes #1
Strategic Takeaways
Overview
Value Chain
EU Supply at a glance
Demand Scenarios
Copper Trading
Strategic Takeaways
Where the EU is strong
Where the EU is strong
Where the EU is strong
Where the EU is strong
Strategic Takeaways
Recommended Actions
Expand EU mining responsibly Capture more urban mine value Invest in smelting/refining Secure international partnerships
Reduce strategic supply vulnerabilitiesExpand recycling capacity and stop scrap leakageTargeted partnerships via the CRM Act and Global Gateway
Commodity Bytes #1
Mining
Copper ore is extracted from open-pit and underground mines. Before mining begins, companies must identify deposits, assess feasibility, secure permits, and develop infrastructure. Mine development can take more than a decade. The EU combines domestic copper mining with imports of copper concentrates and refined copper cathodes to meet industrial demand. Access to concentrates is becoming a strategic bottleneck.
Key EU Companies
European Presence
Limited
Boliden, KGHM Polska Miedź
Limited domestic mining capacity however new mining opportunities have been identified.
Strategic Insights
Key Partner Countries
EU: Mining activity is focused on Poland, Sweden, Finland, Portugal, Spain Non-EU: Concentrates - Brazil, Peru, Chile, Indonesia
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Smelting & Refining
Smelting and refining transform copper concentrates and recycled scrap into refined copper cathodes used by European industry. The EU combines primary metallurgy using mined concentrates with secondary metallurgy using recycled copper scrap, making recycling an important component of Europe’s copper supply. .
Key EU Companies
European Presence
Neo Performance Materials
Strong
The EU possesses significant smelting and refining capacity distributed across several Member States, including Germany, Poland, Sweden & Spain.
Key Insights
Key Partner Countries
Refined Cathode supply: Chile, Democratic Republic of Congo, Peru, Serbia
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Mining
Copper ore is extracted from open-pit and underground mines. Before mining begins, companies must identify deposits, assess feasibility, secure permits, and develop infrastructure. Mine development can take more than a decade. The EU combines domestic copper mining with imports of copper concentrates and refined copper cathodes to meet industrial demand. Access to concentrates is becoming a strategic bottleneck.
Key EU Companies
European Presence
Boliden, KGHM Polska Miedź
Limited
Limited domestic mining capacity however new mining opportunities have been identified.
Strategic Insights
Key Partner Countries
EU: Mining activity is focused on Poland, Sweden, Finland, Portugal, Spain Non-EU: Concentrates - Brazil, Peru, Chile, Indonesia
Recycling
Recycling is a major component of the European copper value chain and plays a central role in reducing external supply dependency. Copper can be recycled repeatedly without loss of performance, allowing secondary copper production to complement primary mining supply. The EU recycling system combines: direct melt of high-grade scrap, and secondary metallurgy for lower-grade scrap requiring refining.
Key EU Companies
European Presence
Europe possesses advanced collection, sorting, recycling, smelting & refining capabilities for copper scrap. Approximately 1.6 Mt of post-consumer scrap is collected annually in the EU, plus around 370 kt of pre-consumer scrap.
Aurubis, Metallo Group (recently purchased by Arubis), Boliden, KGHM
High potential, currently underdeveloped
Key Insights
Key Partner Countries
Scrap imports into the EU: Main import origins include: United Kingdom, United States, Switzerland Norway Scrap export destinations: Main destinations for EU scrap exports include: China, India, United Kingdom
End Use
Copper is used across modern infrastructure and technology systems because of its electrical conductivity, durability, thermal performance, and recyclability. Major applications include: electric vehicles, wind turbines, solar systems, power grids, data centres, defence technologies, and buildings. There is growing copper demand across several “focus applications” linked to decarbonisation, digitalisation and increased defence spending.
Key EU Companies
European Presence
Nexans, Prysmian, Siemens EnergySchneider Electric, Legrand
Strong
Strong industrial demand base. power cables, transformers, electric vehicles, heat pumps and renewable energy systems among the most important drivers of future copper demand growth.
Key Insights
Key Partner Countries
Europe remains connected to global manufacturing and supply chains for: renewable energy equipment, batteries, electrical equipment, and transport technologies
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Fabrication
Refined copper cathodes are transformed into semi-finished products such as wire rod, tubes, bars, sheets and foil, which are then used across strategic industrial sectors. Copper plays a central role in electrification, renewable energy systems, power infrastructure, transport systems and industrial equipment.
Key EU Companies
European Presence
Strong
Nexans, Prysmian, Wieland
Strong industrial manufacturing base using copper in: Power infrastructure renewable energy, buildings & construction, industrial equipment, transport systems, electrical applications. Europe also possesses advanced collection, sorting and recycling capabilities for copper scrap.
Key Insights
Key Partner Countries
Key destinations for exported copper scrap include: China, India, United Kingdom
This paragraph is ready to be filled with incredible creativity, experiences, and stories.
Trading Challenges
Recent developments in worldwide smelting capacity mean that maintaining the EU current ‘share of concentrates purchase’ on the international market will be a serious challenge. Investments in smelting capacities in China, India and Indonesia over the past few years have significantly outpaced the development in the production of concentrates, creating a tension on this market. The potential deficit in the supply of copper ores, mean China and India scramble for any additional quantities of concentrates. Significant efforts must be developed to allow the EU smelters to continue operating and to get access to the additional quantities of concentrates they will need to meet the growing copper demand in Europe
Subtitle
Trading Challenges
permanent magnets account for ~95% of total rare earth consumption by value
Increased EU mining activity
Increased EU mining activity
Increased EU mining activity
Ore — the raw rock dug out of the ground. It contains rare earth minerals mixed in with a lot of unwanted rock. Carbonate — after the ore is crushed and treated with chemicals, the rare earths come out as a solid called a mixed carbonate. It's more refined than ore, but the different rare earth elements are still all jumbled together. Oxide — heating the carbonate drives off water and CO2, turning it into rare earth oxide. This is the most common form rare earths are traded in, and it's what comes out of the Separation stage in our value chain — now split into individual elements, like neodymium oxide. Metal — oxide still isn't magnet-ready. One more step (metallisation) converts it into pure rare earth metal, which can finally be alloyed and made into a magnet.
Subtitle
Subtitle
Subtitle
Subtitle