China’s competition regulator is seeking guarantees on future copper concentrate supplies as it reviews the proposed merger between mining giants Anglo American and Teck Resources, according to people familiar with the matter.
The request comes as China faces one of the most severe copper concentrate shortages in decades, placing growing pressure on the country’s vast copper processing industry.
Anglo American announced plans to acquire Canada’s Teck Resources in a deal valued at approximately $54 billion. While regulators in other jurisdictions have approved the transaction, China’s review remains ongoing.
Sources familiar with the discussions said China’s State Administration for Market Regulation has asked Anglo American to provide assurances regarding copper concentrate supplies if the merger moves forward.
The regulator is reportedly seeking commitments related to the flow of raw copper materials into China, including concentrate volumes sold through international trading channels.
China plays a critical role in the global copper industry. The country produces roughly 60 percent of the world’s refined copper cathodes and relies heavily on imported copper concentrate to feed its smelting sector.
Copper concentrate is the raw material processed by smelters before being refined into copper products used in construction, manufacturing, electronics, renewable energy systems, and electric vehicles.
In recent years, demand for copper has increased significantly as countries invest in clean energy technologies and electrical infrastructure.
At the same time, supply growth has struggled to keep pace.
Analysts say Chinese smelters are now facing some of the most challenging market conditions in decades. Competition for available concentrate has intensified, reducing profit margins and creating supply concerns throughout the industry.
Industry experts expect China’s refined copper production growth to slow sharply this year as processors compete for limited raw materials.
Lower prices for sulfuric acid, a byproduct of copper refining, have also added financial pressure on smelting companies.
As the world’s largest consumer of copper, China holds considerable influence over major mining transactions. Regulatory approval from Beijing is often essential for large international deals involving critical resources.
Over the years, Chinese regulators have used merger reviews to seek commitments designed to protect domestic industries and ensure stable access to important commodities.
According to sources, Chinese authorities have gathered feedback from domestic smelters and are negotiating potential conditions that could address industry concerns.
The proposed remedies currently focus on supply assurances rather than asset sales.
Neither Anglo American nor Teck Resources provided details regarding discussions with regulators.
However, Anglo American confirmed that it is continuing to work closely with Chinese authorities as the review process moves forward.
Company representatives said progress is being made and described discussions with regulators as constructive.
The merger was announced in 2025 and remains one of the largest mining transactions in recent years.
Both companies have indicated that they expect the deal to be completed by March 2027, provided all remaining regulatory approvals are obtained.
If approved, the combined company would control about 5 percent of global copper supply.
That level remains below the market share thresholds that often trigger stronger competition concerns in major jurisdictions.
Still, industry analysts note that copper has become increasingly important because of its role in the global energy transition.
Copper is a key component in power grids, electric vehicles, battery systems, wind turbines, and solar energy projects. Growing demand has made access to reliable supplies a strategic priority for many countries.
Mining executives have increasingly warned that regulatory reviews now involve broader national interest considerations in addition to traditional competition concerns.
Major resource-producing and resource-consuming countries alike are paying closer attention to how mergers may affect long-term supplies of critical minerals.
Industry observers say the trend reflects growing competition for materials needed to support economic growth and clean energy development.
Some analysts also believe that restrictions on concentrate sales could reshape parts of the global copper market.
Changes in supply arrangements could affect smelters in Europe, Japan, and other regions that compete with Chinese buyers for raw materials.
The outcome of the review may therefore have implications beyond China, influencing copper trade flows and pricing across international markets.
As discussions continue, the focus remains on how future supply commitments could help address China Copper Supply concerns while allowing one of the mining industry’s largest proposed mergers to proceed.
With demand for copper expected to remain strong for years to come, access to raw materials is likely to stay at the center of regulatory and industry discussions worldwide.
