Global Copper Prices Hit Record High Amid Capacity Mismatch

Copper prices have reached unprecedented levels due to a growing mismatch between global copper mining and smelting capacity, tightening mine supply, and shifting inventories.

According to the Indian Primary Copper Producers Association (IPCPA), copper prices on the London Metal Exchange (LME) touched a record USD 14,737 per tonne in September 2026, marking an increase of nearly 50 per cent over the past year.

The IPCPA stated that US tariff expectations, tightening mine supply, and significant shifts in global copper inventories have driven the rally. Hundreds of thousands of tonnes of copper have been shipped to the United States to capitalise on the premium between Comex and LME prices.

Comex stocks have risen to a record 675,000 tonnes, while LME warehouse inventories have fallen to critically low levels, further tightening copper availability in global markets. At the same time, China has continued to expand its smelting capacity, adding pressure to an already constrained supply of copper concentrates.

Treatment and Refining Charges (TC/RCs) have plunged to historically unprecedented levels of around negative USD 1,300 per tonne, compared with positive levels of about USD 300-400 per tonne earlier. This has placed severe financial stress on smelters and highlighted the widening mismatch between mining capacity and global smelting and refining capacity.