Copper — The "New Gold" of the AI and Energy Revolution

If you want to know where the world is going, follow the copper. In 2026, copper has hit all-time highs, surpassing $13,000 per metric ton. Often called "Dr. Copper" for its ability to predict economic health, the metal is currently signaling a massive global shift toward electrification. The surge is being driven by a "scarcity footing" as major mine outages and trade dislocations collide with an insatiable hunger for copper in the AI and defense sectors.

The current value of copper is being redefined by two main giants: Artificial Intelligence and the Power Grid. A single AI data center can consume up to 30 tonnes of copper for its complex cooling and power systems. Meanwhile, the global push for renewable energy—including India’s goal of 500 GW by 2030—requires massive amounts of copper for new transmission lines. We are no longer looking at a cyclical commodity, but a strategic asset as vital as oil once was.

As we look toward 2030, the "copper gap" is expected to widen. Production is forecast to peak around 2030 before potentially falling due to a lack of new mine investments. This looming supply cliff has led institutions like Goldman Sachs to project long-term prices reaching $15,000 per tonne by the mid-2030s. The 2030 horizon looks like a period of sustained high prices where "short-term corrections" are merely buying opportunities for long-term players.

The transition to Electric Vehicles (EVs) remains a primary engine of growth. An EV uses roughly four times more copper than a traditional gas car. As charging infrastructure expands globally through the late 2020s, the demand for copper wiring and batteries will likely keep the market in a state of "perpetual tightness." Without a massive breakthrough in recycling or new mining technology, the world is facing a multi-million tonne deficit.

In 2026, copper has earned its nickname as the "next gold." It is the physical foundation of the digital and green revolution. For investors and industries alike, the road to 2030 is paved with copper, and its value is set to remain at the heart of the global energy transition for the foreseeable future.