Chile's state-owned company, Rubén Alvarado, CEO, commented that he saw no reason for the red metal to be subject to sanctions or tariffs, and anticipated strong long-term fundamentals for demand.
Chilean state-owned Codelco, the world's largest copper producer, has redirected part of its spot sales to the United States, CEO Rubén Alvarado said Friday.
In February, US President Donald Trump ordered an investigation into possible new tariffs on copper imports to bolster domestic production, a move that appeared to spur massive demand for the metal.
"It's not that we're removing copper that was intended for other customers to meet this demand, but rather we're committed to the needs of customers in the United States and are redirecting part of our spot sales," Alvarado told reporters.
"In the United States, if you compare sales for the first quarter of 2024 with what we project for the first quarter of 2025, in one case it's 50,000 tons and in the other case it's 25,000 tons. That's what it's been," he added.
Alvarado also commented that he saw no reason for copper to be subject to sanctions or tariffs, and anticipated strong long-term fundamentals for demand, beyond short-term fluctuations.
The company, which delivers all its profits to the state, said its own copper production reached 1.328 million tons between January and December, up 0.3% compared to 2023.
"We're aiming to improve production," Alvarado said, projecting that it will reach between 1.37 and 1.40 million tons by 2025.
Codelco reported pre-tax profits of $790 million in 2024 on Friday, part of an operational improvement following a decline in production in previous years.
Meanwhile, EBITDA (earnings before taxes, interest, depreciation, and amortization) reached $5.439 billion, 32% higher than the previous year.
In addition, direct production costs decreased by 2% to $1,991 per pound.
Regarding the progress of the so-called Structural Projects, the executive explained that the Rajo Inca project in Salvador is 90% complete, while in El Tenientes, the Andes Norte project is 63% complete, Diamante is 40% complete, and Andesita is 64%.
He added that he expects Andes Norte and Andesita to enter operation this year.
The mining company reiterated its commitment to launching a partnership with lithium producer SQM this year and stated that it will select a partner for the Maricunga lithium project in the second quarter.
