Kazakhstan plans to ban the export of non-ferrous metals by all modes of transport until December 31, 2025, according to the press service of the Ministry of Trade and Integration of the Republic.
The press service specified that the initiative was considered on Friday at a meeting of the interdepartmental commission on foreign trade policy and participation in international economic organizations.
“The interdepartmental commission supported the introduction of a ban on the export of non-ferrous metal blanks and ingots from Kazakhstan by all modes of transport until December 31, 2025. The ban applies to unprocessed copper, aluminum slabs and billets, and lead ingots,” the statement said.
As explained by the press service, this measure is aimed at “providing the domestic market with strategic raw materials, preventing the export of low value-added products, and stimulating the processing of non-ferrous metals within the country.”
In addition, the meeting decided to reduce the export customs duty on gallium, which previously stood at 10%, to zero. “The measure is aimed at stimulating gallium production in Kazakhstan and developing export potential,” the press service said.
The Ministry of Trade and Industry clarified that gallium has not been produced in the country in recent years, but Kazakhstan has the necessary resource potential to enter this market and can occupy a niche in the global supply chain.
“This, in turn, will create opportunities for growth in export activity, increase foreign exchange earnings, and expand the presence of Kazakhstani producers in foreign markets,” the ministry said.
Currently, Kazakhstan has a ban on the export of ferrous and non-ferrous metal scrap and waste from the republic. It was first introduced on May 6, 2022, and has been extended several times, most recently in April this year.
Earlier, the Experts Club information and analytical center created a video analysis of the potential for mineral extraction in Ukraine. You can learn more about the prospects for rare earth element extraction in Ukraine and the country’s mineral resources in the video: https://www.youtube.com/watch?v=UHeBfpywpQc&t
Copper is ending 2023 with the most significant price increase among non-ferrous metals due to supply disruptions, the Financial Times reports.
Copper rose by 2.5% to $8.6 thousand per tonne this year. This is due to signs of improvement in China’s economy amid production problems in Latin America.
The closure of a copper mine in Panama and the forecast of a significant reduction in Anglo American’s production will lead to a decrease in global supplies by 750 thousand tons, or 3% of the global figure, in 2024, according to Bank of Montreal analysts. The world’s largest mining companies, Vale and Rio Tinto, also recently published production forecasts that did not meet the expectations of some analysts.
Earlier, traders assumed that due to increased supplies from copper mines in the Democratic Republic of Congo, Peru and Chile, supply would exceed demand next year, but now a balanced market is expected.
“Only two months ago, expectations for the copper market in 2024 were downright pessimistic,” said Colin Hamilton, Managing Director of Commodities Research at BMO. – “But now the expectations of a bad year for copper have disappeared.
“The Chinese economy is doing well, although everyone seems to be talking about it as if it is in a recession,” said Daniel Smith, a spokesman for London-based metals broker AMT.
Goldman Sachs predicts that in the next twelve months the copper price will reach $10 thousand per tonne amid an expected decline in supplies.
Overall, this year has been a challenging one for the base metals market, particularly due to one of the most aggressive interest rate hikes by the US Federal Reserve. Higher rates pushed up the US dollar (the dollar index has gained more than 3% since the beginning of the year), making commodities more expensive for importers. The higher cost of borrowing also led to a reduction in capital-intensive investments and higher financing costs for metal stockpiles, prompting producers to reduce inventories.
These bearish factors put downward pressure on aluminum, lead and zinc, making non-ferrous metals the worst performing commodity sector for the second year in a row, the article notes. The price of nickel fell by 45% to $16.75 thousand per tonne due to a sharp increase in supplies from Indonesia.
Of the six major industrial metals, except copper, only tin has risen in price this year due to the suspension of mining in Myanmar, the world’s third largest producer.
