This move aligns with a broader trend among energy trading firms, such as Mercuria Energy Group Ltd., Vitol Group, and Gunvor Group, which have increasingly ventured into metals markets over the past year. Other energy producers, including PetroChina Company Ltd., have also begun exploring opportunities in this sector, though to a lesser extent.
Aramco Trading’s expansion into copper trading reflects Saudi Arabia’s growing focus on developing its metals and materials industries, both domestically and internationally. The state-owned mining and smelting company Maaden operates one of the world’s largest aluminum smelters outside of China and is working to enhance its local operations. Additionally, Manara Minerals, a Saudi-based firm, holds a stake in Vale Base Metals and is actively pursuing investments in global mining projects.
Sources indicate that Aramco Trading may offer prepayments to mines and smelters to build its copper position, strengthening its market presence. While the company maintains offices in London, Houston, and Singapore, it is now seeking to hire metals traders in Jeddah to support this expansion.
The initiative positions Aramco Trading to capitalize on the increasing demand for copper, a critical material in renewable energy technologies and industrial applications. By entering the metals market, the company aims to diversify its portfolio and contribute to the global supply chain for essential resources. This strategic shift complements Saudi Arabia’s broader efforts to expand its role in the metals industry, supporting sustainable economic growth and global market integration.
Aramco Trading’s entry into copper trading marks a significant step in aligning its operations with emerging market trends, leveraging its expertise in energy trading to explore new opportunities in metals. As the company continues to build its team and infrastructure, it is well-positioned to play a key role in the evolving global metals market, fostering collaboration with international partners and supporting the transition to cleaner energy solutions.
