Report: 33% of global chip production may face disruption in copper supply by 2035

PricewaterhouseCoopers (PwC) pointed out in a report to business leaders today that by 2035, 32% of global semiconductor production may face temporary changes in copper supply disruptions, and this ratio will be four times that of current. According...


PricewaterhouseCoopers (PwC) pointed out in a report to business leaders today that by 2035, 32% of global semiconductor production may face temporary changes in copper supply disruptions, and this ratio will be four times that of current.

According to Reuters, Chile, the world's largest copper producer, is currently working to solve the problem of water shortages that have caused production. PwC said that in 2035, most of the copper supply countries in 17 chip industries will face drought risks.

The last global chip shortage was caused by the surge in demand caused by the epidemic and the shutdown of factories. At that time, not only did the automobile manufacturing industry fall into trouble, but other production lines of the chips were also suspended.

PwC project responsible person Glenn Burm quoted data from the US Department of Commerce in his report, saying, "This will reduce the growth of domestic production gross domestic product (GDP) by a full percentage point, while Germany will reduce it by 2.4 percentage points."

PwC report said that copper mine developers from China, Australia, Lu, Brazil, the United States, the Democratic Republic of Cgo, Mexico, Chambia and Mongolia will also be affected, and all production chip regions around the world will face risks.

Coppers are used to make billions of small wires on wafer circuits. Even though related alternatives are currently being studied, no other materials can compare with the price and performance of the copper.

PwC report states that if material innovation cannot respond to climate change and the affected countries have not developed safer water sources, the risk will only increase with time.

PwC estimates that 25% of copper mine production in Chile are currently facing interruption risks, with this ratio rising to 75% in 10 years and 90% to 100% in 2050.

Chile and Lu have taken measures to ensure their water resources supply by improving mining efficiency and building desalination plants. The PwC report noted that this is not necessarily a solution for countries that cannot obtain large amounts of seawater.

The report pointed out that no matter how the world accelerates its reduction in carbon emissions, "by 2050, about 50% of copper supply in each country will face risks."



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