China’s Largest Copper Producer Expects Rising Prices on China Consumption

“Copper may advance this year as consumption in China, the world’s biggest user of the metal used in wires and pipes, is poised to expand, said Li Baomin, chairman of Jiangxi Copper Co. (358), China’s largest producer.

“Demand growth momentum is strong on expansion of urbanization,” said Li, whose promotion as chairman of the Jiangxi-based company was announced in Beijing yesterday. “Global copper market is expected to be in balance,” he said without giving a forecast for Chinese demand growth.

Copper use in China will jump 8 percent to a record 8.833 million metric tons this year, boosting global demand and creating a 6,000-ton product deficit, compared with a surplus of 216,000 tons in 2012, according to Goldman Sachs Group Inc. The metal tumbled 4.3 percent last month on the London Metal Exchange, erasing gains this year.

Copper may trade in a range of $8,000 a ton and $8,300 a ton….”

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