Secondary copper output sees growth in ’23

According to the International Copper Study Group (ICSG), Lisbon, its 40-plus member nations produced more than 4.55 million metric tons (mmt) of recycled-content secondary copper in 2023, representing 9.58 percent growth in output, or about 400,000 metric tons, compared with 2022.

Secondary copper production comprised 16.9 percent of global output in 2023, up slightly from 16.35 percent in 2022, ICSG says.

Last year, more than 22.3 mmt of primary copper were made, representing 5.3 percent growth compared with the more than 21.2 mmt produced in 2022.

“There has been no major change in supply or demand recently. Export markets for copper remain consistent, with metal flowing to Asia and Europe.” – Rick Dobkin of Shapiro Metals in the March BIR “World Mirror on Non-Ferrous Metals”

According to the ICSG, mined copper output last year did not grow nearly as fast as primary or secondary production, with initial data indicating a 1 percent increase.

Worldwide refined copper use was above the mined output increase but below growth rates for refinery production last year, with ICSG preliminary data suggesting 4 percent growth.

Although China’s construction sector’s troubles are well-documented, the nation’s manufacturing and export sectors aided its copper consumption, growing apparent demand by 9 percent, excluding changes in bonded or unreported stocks. Meanwhile, Chinese net refined copper imports declined by 5 percent, but refined production increased by 14 percent.

The 2023 figures also reveal lower demand in the European Union, Japan and the United States, reducing refined copper demand in the rest of the world by an estimated 2 percent.

U.S. Census Bureau statistics through November 2023 show 711,400 metric tons of secondary copper were produced in that time frame. About 603,000 metric tons of that total were made by brass and wire rod mills.

In the same period in 2022, total secondary copper output was slightly higher at more than 714,500 metric tons. However, U.S. brass and wire rod mills are poised to increase their output in 2023, showing a 1.3 rise in production after 11 months.

In the scrap sector, Rick Dobkin of St. Louis-based Shapiro Metals writes in the Bureau of International Recycling “World Mirror on Non-Ferrous Metals” for March that copper demand has been stable and spreads have widened with increases in terminal market pricing. “There has been no major change in supply or demand recently. Export markets for copper remain consistent, with metal flowing to Asia and Europe.”

Also writing in the “World Mirror,” Vice President of Recycling Procurement for Wieland North America Sebastien Perron says, “Many Canadian recyclers are experiencing lower-than-normal volumes for this time of year, with recycled materials from industrial manufacturing widely said to be down by 20 percent on average and retail customers by as much as 15 percent.”