Trafigura snaps up copper in Asia as China faces supply crunch

· Economy · China

Trafigura Group has been buying large volumes of copper to boost sales into Asia as local supplies run low, adding to a scramble for the metal that has pushed regional premiums for spot cargoes to record highs. The tightness comes as China, the world's largest copper consumer, faces a supply crunch. Separately, China's central bank added to its gold reserves in October, extending a buying streak to two years, as the precious metal fell almost 7% to end the month below the $4,000-an-ounce threshold. The moves reflect strong demand for key commodities in Asia.

Why it matters：Record copper premiums signal tight global supply, with implications for manufacturing costs and the energy transition's raw materials.

Key points

  • Trafigura is buying copper to boost sales into Asia.
  • Regional spot premiums have hit record highs.
  • China's central bank extended its gold-buying streak to two years.

Sources (original reporting)

More stories from this day