You couldn’t confidently claim Ivan Glasenberg, Glencore CEO, is given over to hyperbole. In fact, his group’s grassroots exposure to the markets through its trading division means it’s probably more tuned into the ebbs and flows of the commodity market than most other mining companies.
Yet his comments regarding advances in electric vehicle (EV) technology and its consumption had him audibly excited. Speaking during Glencore’s interim results presentation earlier this year, Glasenberg said the impact of future EV consumption would have a profound effect on the demand of many of the minerals his company mines.
On Glencore’s assumption that 30% of all vehicle sales in 2030 would be EVs – equal to 26m units based on 2016 global vehicle sales of 87m units – an additional 2 million tonnes (Mt) in copper metal demand would be generated. That compares against a current total demand of 23Mt for the red metal of which about 11Mt is generated from China.
The impact on other minerals is even more pronounced.
Source: Finweek 21 September 2017
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