BHP Warns of Copper Structural Deficit 2030 Amid AI Data Center Boom

The AI revolution is sprinting toward a physical brick wall. Brandon Craig, president of BHP Americas, issued a stark warning that the copper industry faces a structural deficit between 2030 and 2035. According to Nikkei Asia, the primary culprit is the relentless surge in AI data center construction, which is devouring supply faster than miners can dig it out of the ground.

BHP Copper Structural Deficit 2030: The Red Metal Scarcity

It's not just about chips anymore; it's about the wires that connect them. Data centers require massive amounts of copper for power distribution and cooling systems. Craig noted that while Chile’s Escondida mine—the world's largest—ramped up production by nearly 30% over the last three years, it won't be enough to bridge the looming gap. The industry must significantly accelerate its output to keep pace with the digital transformation.

M&A Heat and Geopolitical Resource Race

The threat of scarcity is triggering a consolidation wave among mining giants. Rio Tinto and Glencore are reportedly in talks for a massive $207 billion merger to secure their dominance. Meanwhile, a Chinese state-owned miner recently moved to acquire an Ecuadorean copper project for $1.2 billion, highlighting how copper has become a critical pillar of national security and tech sovereignty.