New mining projects may be slow to develop in Peru

Significance As a major producer of copper -- and potentially lithium -- Peru is likely to benefit from the global energy transition. However, investors remain nervous about the potential for political instability, the prevalence of corruption and the likelihood of continued conflict between mining projects and local communities in the Andean highlands and the Amazon. Impacts Copper will remain by far Peru’s most important export, followed by gold. Copper exports will hinge on demand in China. Lithium production is unlikely to begin before 2027.