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Copper Prices 2016–2026: Who Uses It and Why Prices Are Rising
Copper prices have risen sharply, but AI is only one part of the story. Construction, power networks, transport and electronics already use huge amounts of copper. Here is what the data says about the buyers, supply and prices.
29 October 2026 · By OJ Metal Recycling · 8 views
The short version
Why copper is getting more expensive
- The average LME copper price was about $4,863 per tonne in 2016, $9,945 in 2025, and $13,540 so far in 2026.
- The biggest buyers are not just AI companies. Building and construction, electrical infrastructure, electronics, transport and industrial equipment all use copper.
- Demand is growing while new mines take years to develop. In 2026, supply disruptions and copper moving into US warehouses have added to tightness elsewhere.
- High prices can make theft more tempting, but there is no evidence that theft is large enough to set the global copper price.
Copper prices over the last decade
This table uses the average of daily LME Copper Cash-Settlement prices for each calendar year. The 2026 figure runs from 1 January to 28 October, so it is a year-to-date average, not a full-year result. Prices are in nominal US dollars per metric tonne; a metric tonne is 1,000 kg. Although the LME is in London, its copper contract is quoted in US dollars. [3]
| Year | Average price USD per tonne | Index 2016 = 100 | Change |
|---|---|---|---|
| 2016 | $4,862.59 | 100.0 | Baseline |
| 2017 | $6,165.97 | 126.8 | +26.8% |
| 2018 | $6,523.04 | 134.1 | +5.8% |
| 2019 | $5,999.73 | 123.4 | −8.0% |
| 2020 | $6,180.63 | 127.1 | +3.0% |
| 2021 | $9,317.49 | 191.6 | +50.8% |
| 2022 | $8,797.01 | 180.9 | −5.6% |
| 2023 | $8,477.77 | 174.3 | −3.6% |
| 2024 | $9,146.79 | 188.1 | +7.9% |
| 2025 | $9,944.94 | 204.5 | +8.7% |
| 2026 YTD 1 Jan–28 Oct | $13,539.64 | 278.4 | +39.9% vs Jan–Oct 2025 |
The 2026 average uses 209 trading-day observations. The like-for-like January–October 2025 average was $9,680.07. The single-day LME cash settlement on 28 October 2026 was $14,675.50; that is a daily price, not the year-to-date average. [1] [2]
The decade has not been a straight climb. Prices fell in 2019, surged during the post-pandemic recovery in 2021, eased in 2022 and 2023, then rose again. The latest jump is especially steep: the 2026 year-to-date average is about 40% higher than the same period in 2025.
Which industries buy the most copper?
The latest end-use breakdown puts building construction first. These figures group finished uses of copper across the world; they are not UK-only figures, and the categories combine several kinds of products.
| Industry / end use | Share of copper end use | Examples |
|---|---|---|
| Building and construction | 25% | Building wire, plumbing, heating, cooling and fittings |
| Consumer products, cooling and electronics | 22% | Appliances, electronics, computers and air conditioning |
| Power and telecoms infrastructure | 18% | Grid cables, transformers, substations and communications networks |
| Transport | 15% | Cars, electric vehicles, rail, aircraft and ships |
| Industrial equipment | 11% | Motors, machinery, heat exchangers and factory equipment |
| Other uses | 9% | A range of smaller applications |
2025 end-use shares, from the International Copper Study Group and International Wrought Copper Council. [4]
That is why a change in demand from construction, manufacturing or electricity networks can matter more to the total market than one headline-grabbing new use. In 2025, global refined-copper use was about 28.2 million tonnes; China accounted for around 59% of it. [4]
What is lifting prices?
Four simple parts of the story
1. The world needs more electricity infrastructure
More power generation, stronger grids and electrification mean more cables, transformers and connections. The IEA estimates that about 80 million kilometres of electricity grids will need to be added or replaced worldwide by 2040. That is a long-term investment estimate, not copper already bought today. [4]
2. Electric vehicles and renewable power add demand
Electric cars use copper in motors, wiring and power electronics, and charging points need grid connections. Wind and solar projects also need cables, generators, transformers and new connections. The World Bank says investment in renewables and electric vehicles is among the sources of strong metals demand in 2026. [5]
3. AI is a new buyer—but not the whole explanation
AI data centres need copper for power distribution, cables and cooling. The IEA expects global data-centre electricity use to rise from about 485 terawatt-hours in 2025 to around 950 TWh by 2030. That is roughly double, but it is an electricity forecast—not a measure of copper tonnage. Data centres are one growing source of demand; the grid upgrades needed to power them can also require copper. [4] [6]
4. New mine supply cannot respond quickly
When demand rises, producers cannot switch on a new mine overnight. Finding, permitting, financing and building mines can take many years. The IEA’s 2026 outlook says announced projects may supply only about three-quarters of the copper needed in 2035 in its base case. That is a future risk estimate, not proof of a current 25% shortage. [7]
There are also short-term market shocks. The World Bank says the 2026 rise reflects strong demand from renewables, electric vehicles and data centres, alongside supply disruptions. The ICSG reports that expectations of US tariffs redirected copper into US warehouses; total visible stocks rose, but less metal was readily available on the LME and in other regions. This helps explain how prices can rise even while some inventories are increasing. [5] [4]
Copper theft
Does theft make copper more expensive?
High copper prices can make theft more attractive: UK research reviewed by the Home Office found metal crime responds to price changes. But that is the reverse of saying theft pushes up the global copper price. Police data count metal theft, not a reliable worldwide total of stolen copper tonnage; they cannot show that theft meaningfully changes LME supply or price. The evidence supports theft as a serious local crime and a possible response to prices—not as a proven cause of today’s global price rise. [8] [9]
The LME price is also not what a person automatically receives for scrap. UK scrap offers depend on the metal’s grade, condition, contamination, sorting and processing costs, and the exchange rate.
Sources and how we calculated the prices
- Westmetall, LME Copper Cash-Settlement daily table (2016). Daily trading observations averaged for the year.
- Westmetall, LME Copper Cash-Settlement daily table (2026). 2026 prices through 28 October only.
- London Metal Exchange, Monthly Average Settlement Prices.
- International Copper Study Group, World Copper Factbook 2026. End-use shares, global use, data-centre/grid context, inventory movements and market background.
- World Bank, Commodity Markets Outlook, 28 October 2026.
- International Energy Agency, Energy and AI (2025).
- International Energy Agency, Global Critical Minerals Outlook 2026. The copper supply gap is a 2035 project-pipeline scenario, not a current shortage measurement.
- Home Office, Scrap Metal Dealers Act 2013 post-implementation review.
- Office for National Statistics, Property crime tables, England and Wales. Recorded metal theft is not a copper-only series.
Price method: arithmetic mean of daily LME Copper Cash-Settlement observations for each calendar year. 2026 covers 1 January–28 October and is not a full-year average. Prices are nominal USD per metric tonne and are not inflation-adjusted. Sector percentages are 2025 estimates reported by ICSG/IWCC; forecasts and scenarios are labelled as such.