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WisdomTree Insights
The electrification of the global economy is accelerating, driving a surge in electricity demand and base metals like copper. Data centres, EVs, and clean energy tech are key demand drivers. Even in slower energy transition scenarios, electricity's role grows, challenging supply chains and requiring major investment in mining and power infrastructure.
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The electrification of the global economy is accelerating, driving a surge in electricity demand and base metals like copper. Data centres, EVs, and clean energy tech are key demand drivers. Even in slower energy transition scenarios, electricity's role grows, challenging supply chains and requiring major investment in mining and power infrastructure.
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In 2024, major policy and market shifts shaped expectations for the 2025 energy transition. Key developments included political changes, economic nationalism, and multipolar global dynamics. Market imbalances, especially in critical commodities, and growing power demand, driven by electrification and AI, influenced the transition. Despite progress, the world is still on a 2.5°C path.
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The energy transition has moved through various phases. Today, greater attention is paid to affordability and energy security, in addition to the climate security goals that shaped the transition following the Paris Agreement in 2015. Rather than being weakened by such changes, assessments of the energy transition and related demand and supply for strategic metals will be increasingly viable if a wider focus is placed on security, affordability, and sustainability.
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The pursuit of energy and climate security is reshaping base and precious metals markets. This blog focuses upon some of the key short and long-term trends shaping the supply demand balance for energy transition commodities.
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Many metals and minerals are used in renewable energy technologies, batteries, and electric vehicles. This blog sheds light on the processes needed to extract these materials from the ground and transform them into their final form for use in these technologies.
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In this blog, WisdomTree’s energy transition industry expert partners, Wood Mackenzie, discuss why the energy transition megatrend is poised for a renaissance in 2024. After a challenging 2023, macroeconomic tailwinds, policy support, and technological acceleration are all lining up to propel the energy transition onward, making it an exciting time for investors to consider this theme.
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