Copper prices rise as Chilean mine disruptions threaten supply

copper prices mining strikes supply shortages Centinela mine industrial metals

Copper prices on the London Metal Exchange have risen, supported by supply disruptions and strong demand from China. Benchmark three-month copper reached $14,464 per metric tonne, reflecting concerns over global availability.

In Chile, production challenges are mounting. A strike at the Centinela mine, operated by Antofagasta, threatens to significantly reduce output. Labor unions and the company have entered mediation through the Labor Directorate in Antofagasta to seek solutions. Additionally, Chilean production has seen declines at major sites including Codelco, Escondida, and Spence due to factors such as lower ore grades, accidents, and maintenance.

Financial institutions like UBS and Deutsche Bank have noted that supply constraints, driven by electrification and data center construction, are expected to outpace supply growth for several years. Meanwhile, copper stocks in the United States have seen movement ahead of potential tariffs on refined imports, further impacting global availability.

Entities

Antofagasta · Centinela Mine · Centinela copper mine · Chile · Codelco · Deutsche Bank · Federal Reserve · London Metal Exchange · Wall Street

Claims

What the coverage asserts, and how many sources carry each claim.

[○ 1 SOURCE] The labor dispute centers on pay and benefit disparities between employees in different unions performing identical jobs.
[○ 1 SOURCE] The Dirección del Trabajo has organized a new voluntary mediation instance between Minera Centinela and the striking unions. elreporterodeiquique.com
[○ 1 SOURCE] Copper production at Centinela could begin to reduce within approximately two weeks if the strike continues.
[○ 1 SOURCE] A strike at the Centinela copper mine could result in a significant production hit.
[○ 1 SOURCE] Centinela produced 240,400 metric tons of copper in 2025, accounting for over 35% of Antofagasta’s total production.