Copper Mining Companies Are Sweating a Supply Shortage

By: Anneken Tappe · September 28, 2023 · Reading Time: 2 minutes

Rising Demand

The world is in the midst of a massive energy transition. However, the pursuit of electric over fossil fuels has laid bare a shortage of a key ingredient — copper.

Copper is one of the most crucial elements powering the clean energy transition, along with lithium, cobalt, and nickel. The rusty red metal is naturally conductive, which makes it crucial for manufacturing electric vehicles, EV batteries, solar panels, wind turbines, and power grids.

Copper Craze

Companies around the world are scrambling to introduce clean energy solutions and meet net-zero emission goals. As a result, the demand for copper is only expected to increase over the coming years.

A recent report by IHS Markit, a part of S&P Global (SPGI), estimates that demand for copper could nearly double by 2035. If this projection holds, mining companies will likely have a tough time keeping up.

Looking for more stories like this? Check out On the Money — SoFi’s one-stop-shop for news, trends, and tips!

Check it out

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.

TLS 1.2 Encrypted
Equal Housing Lender