Description
Copper is a reddish metal that is malleable and ductile and has high electrical and thermal conductivity. It is resistant to air and water but slowly weathers to green patina of carbonate. An historically important alloy is bronze. Copper is used as wire for conducting electricity; coins; alloys, etc..
Biological role: Essential to all species.
Total mass of element in average (70kg) person: 72 mg
Abundance in Earth's crust: 50 ppm
Copper's unique chemical and physical properties make it a a superior material for use in the building construction, electrical energy, telecommunications, transportation and industrial machinery industries.
As much as three quarters of copper produced is consumed in wire and cable products used principally as energy cable, building wire and magnet wire. Copper is also an important metal in non-electrical applications such as plumbing, roofing, and when alloyed with Zinc to form brass, in many industrial and consumer applications.
Demand
The demand for copper has risen dramatically over recent decades being driven by global economic development. While growing populations have increased overall usage, technological advancement has increased intensity of usage in copper-consuming products and through the development of new products in which copper is a component.
The largest overall increases in demand are expected to continue to come from Asia, led by China. As the world's population grows and economic development continues, the consumption of copper can be expected to increase as annual per capita consumption for products such as electrical power, automobiles, plumbing supplied, telecommunications devices and air conditioners increases.
Supply
Mine production provides the principal source of global copper supply with recycled scrap comprising the balance of around 12%. Latin America is the largest contributor to mine production at 45%, followed by the former Eastern Bloc countries at 19%, Oceania at 18% and North America at 12%.
Price
Historically, the copper price has been both cyclical and subject to volatility, a reflection of economic supply and demand conditions and the market's expectations of these conditions in the near term.
The copper price averaged over US$1.00/lb in both the 1980's and 1990's and appears positioned to do so again in the first decade of the 21st century.
The increased demand, principally from China and other Asian countries, has resulted in the copper price rising almost four fold over the fives years from 2001. In 2006, the copper price was above US$ 3.00/lb. Continued demand for copper and the long lead time to develop new resources for production should see the copper price remain firm for at least the next few years.
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