Nonferrous Metals

COPPER In terms of mining activity, copper is the leading nonferrous metal. It is true that in recent years the volume of aluminum consumption in the non-Communist world has exceeded the volume of copper consumption, but virtually the entire primary aluminum supply is derived from bauxite. On the average, only four tons of bauxite need be mined to produce a ton of aluminum. By contrast, the highest-grade, large-scale copper mines now in operation (those in the Congo) must mine at least 20 tons of ore to produce a ton of copper. In the United States an average of 150 tons of ore must be mined to produce a ton of copper. This does not take into account the huge amounts of waste overburden that must be stripped from the open-pit mines to account for their steadily rising share of the world's copper output. Copper epitomizes the economic problems of the mining industry in many ways. Its price is highly volatile, considering its great economic importance. It has been a tool of mankind longer than any other of the base metals-the dawn of history has been classified as "The Bronze Age." World Copper Production Although copper is mined in many countries, in recent years 70% of the non-Communist world production has come from six countries. Two of these are industrialized countries and are large consumers-United States and Canada. The other four are developing countries with very small domestic requirements-Chile, Zambia, Zaire, and Peru. Heavily dependent on copper exports to sustain their domestic economies, these countries find themselves oscillating between prosperity and depression with the changing levels of copper prices. In an effort to control their own destiny, in 1968 they formed an organization of copper exporting countries (CIPEC) which was designed to study copper markets and possibly to intervene actively in these markets. (When this chapter was being prepared, no actual steps along such lines had been taken.) Many of the leading industrialized nations are wholly dependent on imports for their primary copper supplies. These include West Germany, the United Kingdom, France, Italy, and many others. Japan, now the non-Communist world's second largest copper consumer, produces only 10 to 15% of its requirements from domestic mines. Although the bulk of the copper output is smelted in the country where it is mined, there is a limited international trade in copper concentrates. Canada, the Philippines, Australia, and Papua-New Guinea are significant exporters of copper concentrates; Japan, Germany, the United States, and Sweden are importers. However, this trade accounted for only about 10% of the non-Communist world production of copper during the decade of the 1960s.