Ivan Glasenberg, the CEO of international commodities producer and trader Glencore, commented on the surging commodity prices at the Qatar Economic Forum.
Stating that the China’s effort to push the prices down is a short-term game as the underlying fundamentals of supply and demand will keep prices higher, Mr. Glasenberg said that the impacts of China’s move will be short-lived because the country will need to replenish stocks.
Ivan Glasenberg expects the rally in the commodity prices will continue amid infrastructure spending in China, disrupted supply of various commodities due to pandemic, which created a supply shortage, and the support coming from other infrastructure projects around the world, including the US. Meanwhile, he added that the mining industry will struggle to keep pace with the new demand coming from the transition to green economy.