Copper demand is surging beyond industry expectations, fueled by massive global investments to upgrade and expand power grids in support of the digital and clean energy transitions—both of which require vast amounts of electricity.

At the same time, output from key producers like Chile and the Democratic Republic of Congo remains limited due to underinvestment in new mining projects, paving the way for a sustained period of elevated prices.

Analysts expect copper prices to exceed $12,000 per ton before 2030—up 23% from current levels near $9,700.

While alternatives are being explored, copper remains difficult to substitute thanks to its unmatched conductivity, durability, and versatility.

According to the International Energy Agency, grid investment is set to surpass $400 billion in 2025, following a record $390 billion in 2024.

“Copper is often a massively underestimated part of grid infrastructure. People recognise the need to expand the grid, but often misjudge the sheer volume of copper this will require,” said Michael Finch, head of strategic initiatives at consultancy Benchmark Mineral Intelligence (BMI), pointing to investment needed in the U.S., the UK and China in particular.

Global copper demand for upgrading power generation and transmission networks is projected to climb to 14.87 million metric tons by 2030, up from 12.52 million tons in 2025, according to new data from BMI shared with Reuters.

Bank of America analyst Michael Widmer forecasts a broader 10% rise in total global copper demand, reaching 30.32 million tons by the end of the decade. He also projects a supply deficit of 1.84 million tons in 2030.

The urgency for more resilient power grids is especially pronounced in regions seeing a rapid expansion of data centres supporting artificial intelligence and machine learning applications.