Copper Remains Top Industrial Metal Choice for 2026 Outlook

Electrification and Demand Growth

Goldman Sachs analysts noted on Friday that electrification now drives nearly half of global copper demand, implying structurally strong growth that most other metals lack. Despite potential headwinds from trade tariffs, copper is expected to see a significant supply-demand gap as mine supply faces unique geological and regulatory constraints. This long-term scarcity is keeping prices elevated well above historical averages, even as industrial growth in other sectors cools.

Tariff Uncertainties and Price Consolidation

The bank forecasts that copper prices will consolidate throughout early 2026 as uncertainty over U.S. trade policy and tariffs on refined copper lingers. Benchmark three-month copper on the London Metal Exchange was recently quoted at $11,721.50 per metric ton, slightly down from last week’s record high of nearly $12,000. Traders are currently in a 'wait-and-see' mode regarding the specifics of upcoming trade announcements expected by mid-2026.