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A growing shortage of the industrial metal copper threatens to derail the boom in artificial intelligence (A.I.) data centres, according to a new report.

S&P Global (NYSE: $SPGI ) forecasts that global demand for copper will increase 50% by 2040, exacerbating a supply crunch and threatening the A.I. data centre buildout.

The report from S&P Global says that copper demand will grow from 28 million metric tons a year currently to 42 million metric tons by 2040.

Without new mining investment, supply of the red metal that is widely used as an electronic conductor will fall 10 million metric tons short of annual global demand within 15 years.

The latest report on copper's shortfall comes after the U.S. designated copper a "critical mineral" last November, the first time the metal has achieved that status.

The U.S. government is reportedly growing worried about a copper shortage as the metal gets eaten up by A.I. data centres, electric vehicles, and defence systems.

Data centers consumed 4% of U.S. electricity in 2024, according to the Pew Research Center. That figure will hit 14% by 2030, says the think tank.

The International Energy Agency (IEA) projects that global data centre electricity use will double to 945 terawatt-hours by 2030, further increasing demand for copper.

The sharp and growing demand, coupled with global supply constraints, has pushed the price of copper up significantly over the past year.

Copper's price has risen more than 40% over the past year and hit an all-time high above $13,000 U.S. per metric ton this January.

Commodities analysts warn of further price increases over both the short and long-term as the A.I. data centre buildout accelerates around the world.