Copper hits record high as Congo bans concentrate exports

Copper prices surged to fresh record highs on Thursday after Reuters reported that the Democratic Republic of Congo has banned exports of copper and cobalt concentrates, adding to a cascade of supply disruptions that have propelled the metal more than 50% higher over the past year.

The September copper contract on COMEX CME Group Inc. ↘ 0.17% rose to $6.7045 per pound — equivalent to $14,781 per metric ton — surpassing the previous record of $6.69 per pound set in mid-May. On the London Metal Exchange, copper broke above $14,000 per metric ton for the first time in two months, approaching its January record of $14,500. According to Trading Economics, copper reached an all-time high of $6.83 per pound in August 2026.economies+1

Congo Export Ban Escalates Supply Fears

The June 29 order, signed by Mines Minister Louis Kabamba Watum, Foreign Trade Minister Julien Paluku Kahongya, and Economy Minister Daniel Mukoko Samba, states that "the export of copper and cobalt concentrates is prohibited," according to a government document reviewed by Reuters on Thursday. The ban takes effect immediately, though the mines minister may grant one-year export waivers under "strategic" circumstances.wabx+1

The DRC is the world's second-largest copper supplier and produces around 1.5 million metric tons annually. In the first quarter of 2026, the country exported 696,725 tons of copper cathodes compared with 53,926 tons of copper concentrates, suggesting the ban targets a smaller but critical segment of output.straitstimes+2

Tariffs and Structural Deficits Compound the Rally

The Congo ban landed atop an already strained market. US ports received more than 200,000 metric tons of copper in July — the highest monthly total since records began in 2014 — as companies accelerated imports ahead of potential tariffs. COMEX inventories have climbed more than 40% this year to record highs.economies

Meanwhile, Chinese smelters are increasingly turning to scrap as concentrate availability tightens. Scrap copper accounted for 25.2% of feedstock used in China's refined copper production in the first half of 2026, up 2.7 percentage points year-over-year, according to S&P Global. Treatment and refining charges fell to a record low of minus $173 per metric ton on August 5, reflecting severe concentrate scarcity.spglobal

Mining Stocks Rally on Record Prices

The surge lifted shares across the sector. Glencore reported first-half adjusted EBITDA of $10.1 billion, up 86%, while confirming plans for a Sydney secondary listing in October. Freeport-McMoRan ↘ 1.74% gained 3.3%, BHP ↘ 1.66% rose 2.0%, and Rio Tinto ↘ 1.83% advanced 2.3%.economies

In Chile, state-owned Codelco suspended the Andes Norte expansion at El Teniente after detecting new seismic activity, with Chairman Bernardo Fontaine saying there is "no possibility" of reaching the company's 1.7 million metric ton annual target within the next four to five years.economies