Chile’s copper plant closure sets up clash between environmental and economic concerns

Environmental consciousness is growing among Latin American governments, with the recently elected left-wing administrations of Gabriel Boric in Chile and Gustavo Petro in Colombia promising unprecedented measures against extractive industries.

However, putting these ideas into practice is likely to prove a massive challenge, given how deeply intertwined modern economies are with polluting or otherwise environmentally harmful activities. 

Around the world, from China to the U.S., this tension is evident. Policymakers may show concern for the environment, but they are also faced with the complex dynamics of business and the lives of those whose labor is tied to old industries.

In Chile, the scene has been set for just such a conflict. Last week, Mr. Boric announced the closure of the Las Ventanas copper-smelting plant, part of the state-owned copper giant Codelco, the largest company in the sector anywhere in the world.

“After public discussion that, as you all know, has gone on for years, the management of Codelco has decided to move forward with the closure of the Ventanas smelter,” Mr. Boric said. 

“The decision – which will need backing from Congress, whose support on the matter we are hoping for – was taken after considering the recurrent cases of intoxication in the region, the constant need to close schools due to children falling ill, and the levels of contaminants registered in the area.”

Not long after the press conference, giant “BORIC TRAITOR” signs were plastered on the plant...