Prices of sulphuric acid used to process metals such as copper and nickel are expected to extend their decline next year, consultancy CRU said on Tuesday.
Sulphuric acid delivered to top copper producer Chile is forecast to fall to $215 a metric ton in the fourth quarter of 2027 from a record of $451 earlier this year, CRU said.
“There’s a bit of relief for those that are more exposed to the spot and contract sulphuric acid markets,” analyst Chris Lawson told a seminar during LME Week, an annual gathering of the global metals industry in London.
Prices, however, will remain above historical averages, he added.
Lower sulphur and sulphuric acid prices will help treatment charges for copper to recover next year, Lawson added.
Spot copper treatment charges are forecast to be minus $75 per ton in the fourth quarter of 2027, compared to nearly minus $300 currently, he said.
The copper concentrate market has seen a major shift in pricing, moving to index pricing from long-term contracts, CRU analyst Tom Rutland said.
In 2024, 52% of buying was done on 12-month fixed contracts, but that has declined to 14% this year, while indexing has grown from 12% to 51% in the same period
China resumed sulphuric acid exports to Chile in September after a three-month halt, data showed on Tuesday.
Supply from Gulf producers has been disrupted by the Iran war.
(Reporting by Eric Onstad; editing by Jason Neely)
