Jun 30, 2023
Top Copper Producer Chile Extends Run of Supply Disappointments
Bloomberg News
,(Bloomberg) -- Chile reported another monthly decline in copper output, extending a run of supply disappointments in a nation that accounts for a quarter of global supply.
Production in May came in 14% below year-earlier levels, the fourth straight slump, according to national statistics agency data released Friday. The result dashes hopes of a recovery after export data suggested some of the world’s biggest copper mines may be putting recent setbacks in the rear-view mirror.
Read More: Codelco CEO Resigns as Copper Giant Fights to Stem Output Slump
The data release comes a day after Codelco reported another fatal accident. Project delays have been a major factor in the state-owned behemoth’s plunge to the lowest output figures in a quarter century. Recent rains that disrupted work at some mines in central Chile dimmed June’s production outlook.
Project wobbles, mine-specific setbacks and plant maintenance have hindered Chilean output of late, providing an offset to China’s slower-than-expected economic recovery in a market that appears to lack clear direction.
--With assistance from Kristy Scheuble.
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