Freeport-McMoRan Expects Tech-Driven Copper Demand Growth, Seeks U.S. Incentives after 10% Pullback
Freeport-McMoRan expects copper demand for electrification, data centers and AI to grow despite a nearly 10% price drop since late February, after producing 1.3 billion U.S. pounds and 3.38 billion globally last year. The company is seeking U.S. incentives for domestic copper investment, pursuing waste-rock leaching tests and evaluating acquisitions.
1. Copper Demand Outlook
CEO Kathleen Quirk highlighted resilient copper consumption for electrification, data centers and artificial intelligence, even after global prices fell nearly 10% since late February. Last year the company produced 1.3 billion pounds of copper in the U.S. and 3.38 billion pounds worldwide, all sold into commercial markets.
2. Domestic Support and Incentives
Freeport is lobbying the federal government for economic incentives to boost U.S. copper investment, citing a need to compete with international projects. The company noted past tariffs excluded its ores and concentrates, and signaled openness to revised policies later this year.
3. Growth Strategies
To bolster output, Freeport is testing waste-rock leaching techniques and remains open to acquisitions that fit its strategy, though internal expansion remains the priority. Management also continues to assess re-entry opportunities in the Democratic Republic of Congo.
4. Market Pressures
Volatile gold prices have weighed on mining stocks, dragging down Freeport alongside peers like Newmont. Broader economic uncertainty and sector‐wide cost inflation remain key factors for future performance.