Energy Transition Sets Stage for Metal Price Surge by 2035

Coface predicts a surge in metal demand by 2035 due to the energy transition and electrification.

The metals sector economist at Coface, Simon Lacoume, said that industrial metals are entering a new phase with significant new demand from industries like renewable energy, EVs, batteries, electricity grids, and data centres. This demand is expected to be met by a supply chain struggling to keep up.

Copper, nickel, and aluminium face structural shortages due to rising demand and constrained supply, which could lead to a bull market in metal prices. Coface predicts that copper and nickel prices could almost double over the next decade, with aluminium also expected to rise sharply.