Sonora: Winner From Rising Copper Demand

As the transition to clean energy moves forward, demand for copper is expected to increase, representing a significant opportunity for Sonora. Although legal uncertainty has hindered Sonora’s ability to take advantage of new business, newly elected president Claudia Sheinbaum has pledged to boost copper mining in Sonora.

David Ramos Félix, President, Association of Mining Engineers, Metallurgists, and Geologists of Mexico in Sonora, emphasized that the surge in copper demand will be primarily driven by the increasing adoption of electric vehicles (EVs) and clean energy sources. Ramos emphasized that an average EV requires nearly 100kg of copper, compared to the 25kg needed for a standard vehicle. Ramos expects Sonora to benefit from increased copper demand, as it accounts for more than 70% of the country’s copper production.

In 2023, copper contributed 27.7% of the total value of non-petroleum mining production in Mexico, making it the second most valuable mineral after gold. However, despite favorable market conditions and strong mineral demand, mining in Sonora faces significant challenges, particularly in the legal and regulatory domains.

"Legal uncertainty and lack of clarity in government policies hinder the advancement of new projects and discourage foreign investment. Closing or banning open-pit mining would severely affect the region's economy and employment, as many operations have open-pit operations," warned Felix.

Although uncertainty is expected to linger, Sheinbaum has advocated for increasing the extraction of critical minerals such as copper and promoting the Plan Sonora, which aims to position Sonora as a world leader in the use of renewable energy. "We will continue to work on Plan Sonora, enabling the exploitation of copper and attracting companies involved in electric vehicle production. Our goal is for Sonora to lead in battery and electric vehicle development, not only in Mexico but globally," Sheinbaum stated.