Car Manufacturers Ditch Copper for Aluminium to Cut Costs and Weight

Major car manufacturers are increasingly replacing copper with aluminium in their vehicles. The shift is driven by rising copper costs and supply chain instability. Analysts expect this trend to grow further in the coming months. Ferrari and BMW are now designing new models with less copper and more aluminium, especially in wiring. Aluminium helps cut vehicle weight and reduces production expenses. Many Chinese carmakers and Tesla have already adopted this approach.

Jonver, a Chinese supplier, reports a sharp rise in aluminium demand for cars. Its aluminium sales share jumped from 20% in 2023 to 30% this year. Industry experts believe more automakers will follow suit as copper prices remain high.

JPMorgan predicts the move away from copper will lower global demand for the metal by 2% in 2024. The primary goal of the switch is to lower manufacturing costs while maintaining performance. The shift to aluminium is gaining momentum across the automotive industry. Global copper demand is set to fall slightly as a result. Manufacturers continue to prioritise cost savings and efficiency in production.