Shafaqna English– China’s competition watchdog wants Anglo American to promise steady copper concentrate supplies. This promise is a condition for approving its planned $54 billion merger with Teck Resources of Canada.
Three sources with knowledge of the situation confirmed this. The request shows China’s strong need for raw materials. It also shows how much power China holds over global mining deals. Without Beijing’s approval, the merger cannot move forward.
China’s copper smelting industry is massive. It processes up to 60% of the world’s copper cathodes. But it is now facing its worst raw material shortage in decades. This shortage is a serious problem. Smelters cannot operate without enough copper concentrate.
As a result, China is struggling to keep its industry running at full capacity. This explains why the government is pushing Anglo American for supply guarantees. The merger review has become part of a bigger effort to secure critical materials.
Source: Reuters