Morning Bites

🇨🇱Chile’s copper output increased 5% YoY in June, vs. the 13% YoY decline in May, mainly due to the low base effect, per the INE data. On a 1H26 basis, output was still down 7% YoY, affected by ongoing grade depletion and other operating challenges. Meanwhile, heavy snowfalls in late-July interrupted mining operations at some Chilean mines, which is likely to add more pressure to copper supply

Considering the negative dynamics in Chilean production (~24% of global mined Cu supply), Cochilco has revised its 2026 production forecast down to 5.3mnt (-2% YoY), from 5.6mnt previously (+4% YoY). The 5.5mnt supply outlook for 2027 is also 8% lower than the previous estimate

We maintain our bullish view on copper, amid both short- and long-term supply issues, growing global demand for renewables and surging investments in China’s grid infrastructure (~8% of global Cu demand, on our numbers)

#copper