China's Copper Imports Decline Amid Global Supply Shortage

China's Copper

In August 2023, China's copper concentrate imports dropped by 4.6% compared to the same period in 2022, according to recent customs data. This decline is primarily attributed to a global shortage of copper concentrate, driven by production disruptions at key mining sites worldwide. Despite a surge in domestic demand from copper smelters, which saw an additional 800,000 tons of smelting capacity come online during the second half of 2023, supply constraints outweighed the demand increase.

China's smelters, anticipating peak activity in September and October, boosted imports by 18.9% from July to restock reserves. A key factor in China's sourcing strategy has been increased imports from Serbia, making up 30.5% of China’s total copper concentrate imports from January to August—an increase of 26.7% compared to the previous year. This rise is largely due to Zijin Mining’s expansion at the Cukaru Peki copper-gold mine in Serbia.

The National Bureau of Statistics reported that China’s refined copper production reached 8.908 million tons from January to August, a 6.2% year-on-year increase, underscoring China's ability to ramp up production despite global supply challenges.