Industry Trend Analysis - Copper To Ramp Up In Coming Years - APR 2016
BMI View: Mexico ' s copper production will experience solid growth, supported by declining operating costs and a strong project pipeline, over our forecast period to 2020.
Mexico's copper sector will continue increase output, due to competitive operating costs and a significant project pipeline over the coming years. In light of this, we have revised Mexico's copper output growth forecast up from 3.0 to 10.0% and 2.5% to 4.0% in 2016 and 2017, respectively. Our upwards revision is predicated on the sector's strong growth in 2015 due to Southern Copper's expansion at the Buenavista mine. We forecast Mexico's copper production to increase from 592 thousand tonnes (kt) in 2016 to 643kt by 2020, averaging 3.7% annual growth.
Low Costs, Project Pipeline To Boost Growth
|Solid Growth Ahead|
|Mexico - Copper Mine Production (LHS, '000 tonnes) & Growth (RHS, % y-o-y)|
|e/f = BMI estimate/forecast. Source: BMI, USGS|