Barrick Bets Big On Zambia’s Copper Future Despite Trump Tariff Shock

Canadian mining giant Barrick Gold Corporation says the future of copper remains bright despite a looming 50% U.S. tariff that has jolted global markets and created short-term price volatility. The company is forging ahead with its $2 billion expansion of the Lumwana copper mine in Zambia, doubling down on Africa’s role in the global energy transition.

Speaking in Lusaka last week, Barrick CEO Mark Bristow acknowledged the market tremors caused by U.S. President Donald Trump’s announcement to impose steep copper tariffs starting August 1. The move, aimed at boosting domestic supply for critical sectors like defense and electric vehicles, sent U.S. copper futures soaring — but also sparked fears of price drops elsewhere as major producers like Chile redirect their exports.

Still, Bristow remained upbeat.

“The copper price is going to be unstable just like everything else in the world, and we will have to get out of this instability,” he told reporters. “But the fundamentals haven’t changed — copper demand is outpacing supply, and that imbalance is only going to grow.”

Bristow cited the proliferation of data centers, clean energy infrastructure, and industrialization across emerging markets as major growth drivers.

“Everyone agrees that copper demand is outgrowing the supply side. That’s why we’re investing now — ahead of the tightening,” he said.

Zambia’s Copper Hub Gathers Momentum
Barrick’s Lumwana expansion is central to that vision. The project will double output to 240,000 tonnes annually by 2028 and extend the mine’s life to 2057. A new 50-million-tonne processing plant, upgraded power infrastructure in partnership with ZESCO, and local supplier development are all part of the transformation.

“When we reviewed the Lumwana mine in 2019, it was high-cost and underperforming. Today, it’s a growing force in African copper,” said Bristow.
He added that Lumwana is poised to become “one of the world’s large and strategically important copper mines.”

The economic ripple effects are already being felt. Barrick has injected over $4 billion into Zambia’s economy since acquiring Lumwana, with 81% of Q1 2025 spending — roughly $177 million — going to Zambian suppliers. Nearly all 12,000 mine workers are Zambian, and almost half come from nearby communities.

In tandem with mining activity, Barrick is investing in local development projects, including the Manyama township, a training center for mining skills, and a regional airstrip. These initiatives align with Zambia’s Mining and Minerals 2031 Policy, which emphasizes inclusive growth and skills development.

Sustainability and Sovereignty
Environmental protection is also a key pillar. Barrick is collaborating with Zambia’s Forestry Department and local leaders to preserve up to 300,000 hectares of forest, a move that supports biodiversity, community livelihoods, and the creation of carbon credits.

“Lumwana is becoming a flagship for sustainable copper mining. It demonstrates how a world-class mine can help build an industrial ecosystem while protecting the environment and expanding economic opportunity,” Bristow noted.

Meanwhile, Barrick is contending with challenges elsewhere on the continent. In Mali, the company has initiated international arbitration after the junta retroactively applied a new mining code that grants the state a 50% stake and seized gold assets worth over $100 million.

Despite these headwinds, Barrick’s Zambia strategy reflects growing confidence in Africa’s long-term role in powering the green economy.

The Bigger Picture
As the world pivots to electric vehicles, renewable energy, and digital infrastructure, copper remains indispensable — and African producers like Zambia are at the forefront of that transformation.

While the U.S. tariff casts a shadow over short-term pricing, Bristow believes the global copper outlook remains robust.

Source: Reuters
Africa Business Insider