Demand for Copper, Nickel, Rare Earths, and Lithium Expected to Quadruple by 2040

Purpose
The BDO’s “Annual Mining Report 2025” highlights a significant surge in demand for critical minerals such as copper, nickel, rare earth elements, and lithium, expected to increase by almost three times by 2030 and four times by 2040. This unprecedented growth is attributed to the increasing adoption of renewable energy technologies, particularly electric vehicles and solar panels.

Effects on Industry
The report indicates that the anticipated growth in demand for base metals, such as copper, nickel, and lithium, is primarily driven by their crucial role in enabling widespread adoption of renewable energy technologies. As a result, the mining industry is experiencing a technological revolution, with advancements in robotics, automation, and artificial intelligence (AI) expected to enhance safety protocols, increase productivity, and significantly reduce carbon emissions. These technological developments are poised to transform the sector, making it more efficient, sustainable, and environmentally friendly.

Relevant Stakeholders
The BDO’s report is relevant to various stakeholders, including:

• Mining companies: The anticipated surge in demand for critical minerals will have a significant impact on mining operations, necessitating investments in new technologies, infrastructure, and human resources.
• Renewable energy sector: The increasing adoption of electric vehicles and solar panels will drive the demand for critical minerals, making it essential for renewable energy companies to adapt their supply chains and manufacturing processes.
• Governments and policymakers: Governments must develop strategies to ensure a stable and secure supply of critical minerals, mitigate environmental impacts, and promote sustainable practices within the mining industry.

Next Steps
To comply with or respond to this update, relevant stakeholders should:

1. Review and adjust supply chain strategies: Mining companies and renewable energy sector players must reassess their supply chains and manufacturing processes to ensure they can meet the anticipated demand for critical minerals.
2. Invest in new technologies and infrastructure: Companies must invest in emerging technologies like robotics, automation, and AI to enhance safety protocols, increase productivity, and reduce environmental impacts.
3. Develop policies and regulations: Governments should establish policies and regulations that promote sustainable practices within the mining industry, ensure a stable supply of critical minerals, and mitigate environmental effects.

Any Other Relevant Information
The BDO’s report provides historical context on the mining industry’s growth patterns, emphasizing the sector’s resilience and ability to adapt to changing market conditions. The anticipated technological revolution in the mining sector is expected to have far-reaching consequences, transforming the way companies operate and interact with their stakeholders.