Copper demand in electric vehicle market to grow by 250% by 2030

Although electric vehicles are known to use roughly four times as much copper as gasoline vehicles, short-term demand for this type of metal industry is not coming from the automotive industry, but from charging stations and associated infrastructure to support EV growth
.

According to international consultancy Wood Mackenzie, there will be more than 20 million EV charging points worldwide by 2030, and demand for copper will increase by more than
250% compared to 2019.
But if more private and public investment is allocated, the predictions will become a reality
sooner.

Potential market

The study notes that the EV charging infrastructure ecosystem is complex, and most projects require strong partnerships
between public and private stakeholders.
Not only power companies, but also equipment manufacturers, software and network providers, as well as government and non-governmental organizations need to work together
.

In North America alone, the EV infrastructure market will reportedly reach $2.
7 billion by 2021 and $18.
6 billion by 2030.

"By 2040, we predict that passenger electric vehicles will consume more than 3.
7 million tonnes of copper
per year.
In contrast, passenger internal combustion engine (ICE) vehicles are in demand of more than 1 million tonnes," said Henry Salisbury, research analyst at Wood Mackenzie, "If we consider cumulative demand, passenger electric vehicles will consume 35.
4 million tonnes of copper between now and 2040, about 5 million tonnes
more than the amount of copper needed to meet current demand for passenger internal combustion engines.
" ”

Currently, the global electric vehicle market share is less than 1%, but by 2030, electric vehicles are expected to account for about 11%
of new car sales.
Consumer demand in the automotive industry will also affect copper demand
.
In general, the average internal combustion engine car requires about 20kg of copper, mainly for wiring, while hybrid vehicles require about 40kg and all-electric vehicles need about 80kg
.
As the size of the vehicle increases, the number increases
.
For example, all-electric buses use 11 to 16 times more copper than internal combustion passenger cars, depending on the size of the battery and the actual bus size
.

This means that global copper demand will increase by 3 million to 5 million tons
over the next decade.
Once electric vehicles become popular, the demand for new copper in the electric vehicle industry alone will reach 11 million tons, while other green technologies may have room
to rise.

Developmental disorders

While electric vehicles are getting cheaper and capable of extending range on a single charge, consumers still face the challenge of being able to provide their vehicles with the
power they need on long journeys.

Gas stations are everywhere, the refueling process is fast, and there is little need to plan
ahead.
But EV charging stations are far from common
.
Despite advances in charger and battery technology, it takes longer for car batteries to charge, which takes about 30 minutes
for today's fast chargers.

Salisbury said: "At present, range anxiety, mainly the fear that the battery will run out of power in the middle, is a key psychological barrier
to the popularization of electric vehicles.
One way to solve this problem is to roll out more charging infrastructure
.
This means that more connections to the grid will be required, and more copper wires
will be needed as the network expands.
”

Salisbury also believes copper would benefit from the absence of viable alternatives
.
The physical properties of the metal make it the best way to conduct electricity and can easily adapt to the temperature of
electric vehicles.
"Although aluminum is the closest choice and lighter in weight and lower cost, copper is more large and efficient, and the cross-sectional area of aluminum cables is twice that of copper when the conduction is comparable, which means that if aluminum cables are used, the volume and space design of the car, and even the performance, will be affected
.
"

Copper is also a key factor in green technology and renewable energy, and despite more advanced technologies, it still accounts for only a small fraction
of the world's total energy production.