Copper Refining and Processing

smelting · cathode · rod · magnet wire

Copper ore is mined in Chile, Peru and the DRC. Nearly half of it is smelted and refined in China.

Two-part graphic. Top: the copper chain from concentrate at about 25 to 30% copper, to smelter anode copper at about 99%, to refinery cathode at 99.99%, to 8 mm rod from a rod mill, to magnet wire and busbar. Bottom: approximate share of world refined copper in 2024 - China about 45%, the DRC about 10%, Chile about 7%, Japan about 6% and the United States about 3%. ORE TO CONDUCTOR Concentrate ~25-30% Cu Smelter anode, ~99% Refinery 99.99% Cu Rod mill 8 mm rod Wire, bus magnet wire SHARE OF WORLD REFINED COPPER, 2024 China ~45% DRC ~10% Chile ~7% Japan ~6% United States ~3%
China share, refined copper
~45%
Cathode purity
99.99%
US primary smelters running
2
Hub
Supply Chain

Finding

China's smelter buildout has pushed treatment charges to zero, squeezing smelters elsewhere while EV, grid and data center demand keeps rising

China added smelting capacity faster than mines added concentrate. Treatment and refining charges, the fee miners pay smelters, fell below zero on the spot market in 2025, and the 2026 benchmark settled at zero. Smelters in Japan, Europe and the Philippines cut output or closed; Codelco shut its Ventanas smelter in 2023.

The US runs two primary smelters, Freeport-McMoRan's Miami smelter in Arizona and Rio Tinto's Kennecott smelter in Utah; ASARCO's Hayden smelter has been idle since 2019. Most US copper concentrate is exported for smelting. The conversion steps are stronger: Southwire, Encore Wire, Essex Furukawa and Rea make rod, building wire and magnet wire, and Aurubis opened a secondary smelter for scrap in Richmond, Georgia, in 2024. See Copper Conductors for how copper is used across electrification.

For EVs, the narrow step is magnet wire: enameled rectangular (hairpin) wire for traction motor stators. Essex Furukawa, Sumitomo Electric, Furukawa, Elektrisola and Chinese makers such as Jingda and Shanghai Yuke supply most of it, and hairpin qualification runs a year or more per motor program.

Worldwide sites

Copper smelting, refining and conversion worldwide

Smelters and refineries turn concentrate into cathode; cable and wire makers turn cathode into product.

Copper refining and processing sites worldwide
CompanySiteCountryStepOutput
Jiangxi CopperGuixi smelterChinaSmelting and refiningCathode, rod
Tongling NonferrousJinguan and other smelters, TonglingChinaSmelting and refiningCathode
Zijin MiningQiqihar, Heilongjiang and other smeltersChinaSmelting and refiningCathode
AurubisHamburg; Lünen; PirdopGermany, BulgariaSmelting, refining, recyclingCathode, rod, strip
KGHMGłogów and LegnicaPolandSmelting and refiningCathode, rod
CodelcoChuquicamata, El Teniente (Caletones)ChileSmelting and refiningCathode
JX Advanced MetalsSaganoseki (Pan Pacific Copper)JapanSmelting and refiningCathode
Mitsubishi MaterialsNaoshimaJapanSmelting, refining, e-scrap recyclingCathode
LS MnMOnsanSouth KoreaSmelting and refiningCathode
HindalcoDahejIndiaSmelting and refiningCathode, rod
Adani (Kutch Copper)MundraIndiaSmelting and refiningCathode
Freeport (PT Smelting, Manyar)GresikIndonesiaSmelting and refiningCathode
Prysmian, Nexans, LS Cable, Sumitomo Electric, FurukawaCable plants worldwideGlobalConversionPower cable, conductors, magnet wire

US sites

US copper smelting, refining and conversion

Two primary smelters, a few refineries, and a larger base of rod, wire and cable plants.

US copper refining and processing sites
CompanySiteStateStepOutput
Freeport-McMoRanMiami smelterArizonaSmeltingAnode copper
Freeport-McMoRanEl Paso refinery and rod millTexasRefining, rodCathode, rod
Rio Tinto KennecottGarfield smelter and refineryUtahSmelting and refiningCathode
ASARCO (Grupo México)Hayden smelter; Amarillo refineryArizona, TexasSmelting, refiningIdle or reduced
AurubisRichmond secondary smelterGeorgiaScrap recyclingBlister copper, metals
SouthwireCarrollton and other plantsGeorgia and othersRod, wire, cableRod, building wire, utility cable
Encore Wire (Prysmian)McKinneyTexasRod, wireBuilding wire
Essex Furukawa, Rea Magnet WireFort Wayne and other plantsIndiana and othersMagnet wireRound and rectangular magnet wire

Bottlenecks

Where copper supply gets stuck

Ore is not the near-term limit; processing capacity, smelter economics and qualification are.

Copper bottlenecks
StepConstraintEffect
SmeltingZero or negative treatment charges; permitting for new smelters outside ChinaWestern smelters close; concentrate flows to China
RefiningElectrolytic tankhouses are slow to expandCathode supply tightens with smelter closures
ConversionRod mills, drawing lines and enameling linesMagnet wire and busbar lead times lengthen when motors, transformers and data centers ramp together
QualificationLong validation for motor and transformer wireHard to switch suppliers quickly
TradeUS Section 232 tariff on semi-finished copper products from August 2025Imported wire and bus cost more; cathode was exempt

Sources

Sources and scope

Scope
Copper Refining and Processing
Sources
USGS; ICSG; company disclosures; US Section 232 copper proclamation (July 2025)
Updated
October 2026