Copper as a Critical Resource in the Energy Transition

The energy transition requires significant amounts of critical raw materials, with demand projected to continue increasing. Analyses indicate that the supply of these materials will fall short of the requirements for the energy transition plans based on renewable energy sources. To address this challenge, it is essential to examine the global value chains of critical raw materials and their intermediates, identifying the risks linked to concentrating downstream processes in countries that may not operate under market-oriented principles. Such countries could become “price makers” on international markets, influencing costs and availability. This article focuses on copper, a key raw material for the energy transition, and explores its global value chains in detail. It highlights the risks associated with copper extraction in regions with the largest identified deposits, such as South America and Africa, as well as challenges related to smelting and refining, which are predominantly carried out in China. Additionally, the article presents an analysis of the operations of KGHM Polska Miedź S.A., one of Europe’s largest copper producers, headquartered in Poland but also active in North and South America.