Copper steals the spotlight from gold

Copper has outperformed gold since the beginning of this year, posting a 15.8% price increase, while its gains have exceeded 30% over the past twelve months. This surge is driven by rising global demand for the metal, fueled by expanding investments in artificial intelligence, power grids, and increased defense spending, alongside efforts by governments and industrial sectors to secure their supply needs.

Demand for copper is no longer reliant solely on construction activity and traditional industries; the metal is increasingly linked to technology projects and energy infrastructure, particularly data centers required to power artificial intelligence applications. These centers consume large quantities of copper in their power systems, electrical wiring, and cooling systems, thereby expanding its usage as these investments grow.

Simultaneously, projects to develop electricity transmission and distribution networks add another source of copper demand, amid rising global energy needs. This reinforces the metal’s strategic importance to governments and industrial institutions seeking to ensure its availability. In this context, a study published by S&P Global in January 2026 projected that global copper demand would rise from approximately 28 million tons in 2025 to 42 million tons annually by 2040, representing an increase of nearly 50%.

The study linked this growth to rising needs in artificial intelligence, data centers, defense industries, robotics, as well as electric vehicles and electronics.

It warned that failing to expand mining operations and enhance recycling could lead to a significant supply-demand gap, as efforts to secure supplies accelerate to meet growing industrial and technological needs.