In an interview during the CESCO copper conference in Santiago, Antofagasta CEO Ivan Arriagada discussed the potential impact of the U.S.-China trade war on metal demand. He suggested that advancements in AI and other technologies could counterbalance any reduction in traditional consumption due to economic uncertainties. Arriagada also noted that President Donald Trump's policies might create a more conducive environment for mining investments.

Following Trump's recent tariff announcements and China's retaliatory measures, financial markets experienced volatility, leading to a decline in copper prices. Arriagada expressed concern about the broader economic implications of the trade war, which could dampen copper demand, although he believed that the limited copper supply would persist due to its essential role in construction and the shift towards a greener economy.

Despite the uncertainty regarding potential tariffs on copper, Arriagada mentioned that Chile, being a significant copper producer, is well-positioned to avoid such tariffs as the U.S. maintains a trade surplus with Chile. Antofagasta, a London-listed company operating copper mines in Chile and developing a mine in the U.S., remains optimistic about its production targets for the year.

Arriagada highlighted the importance of addressing legal challenges for the Twin Metals mine project in Minnesota to progress further. He acknowledged the current favorable climate for mining investments, although concrete advancements are yet to be seen. Despite the rush by U.S. clients to stockpile goods before Trump's tariff announcements, Antofagasta only marginally increased its copper exports to the U.S. during that period.