ISLAMABAD, July 7 — The rising price of copper is fueling a surge in thefts from data center construction sites across the United States, a problem that industry experts say is causing significant damage and forcing builders to rethink the materials they use. Thieves typically target unsecured construction sites at night, cutting and removing copper wiring, pipes, and grounding cables. The stolen metal is then sold to scrap yards, where copper fetches between $3 and $4 per pound in 2024.
These thefts are not just a matter of missing material. The cutting process often destroys insulation and can require entire sections of wiring to be replaced, adding considerable cost and delay to projects already under tight deadlines.
The scrap metal industry has taken steps to curb this activity. The Institute of Scrap Recycling Industries (ISRI) reports that over 50% of U.S. states now have laws requiring scrap yards to record seller IDs, often demanding photo identification and payment by check rather than cash. This is the encouraging part for security, as it creates a paper trail.
However, enforcement of these laws varies widely from state to state. And thieves have adapted.
They often use fake IDs or steal from multiple sites in different jurisdictions to avoid detection. The system, while better than nothing, is far from foolproof. The damage is the real story.
Cutting copper can destroy insulation and require rewiring. Data center builders are now fighting back with material science. In some cases, they are using copper-clad steel or aluminum alternatives for non-critical applications.
But copper remains essential for grounding and high-power applications, meaning it cannot be fully replaced. For now, the metal’s unique properties keep it in high demand, and its high scrap value keeps it a prime target.
A Persistent Problem
The scrap metal trade itself is a massive industry, and the laws meant to regulate it are a patchwork. While over half of U.S. states require photo ID and payment by check, the remaining states have weaker or no such requirements. This creates a situation where thieves can simply travel to a jurisdiction with lax enforcement to sell their haul.
The financial incentive is clear. At $3 to $4 per pound, a single stolen spool of copper wire can net a thief hundreds of dollars.
When multiplied across multiple thefts from multiple sites, the losses for construction companies and their insurers become substantial. For data center builders, the challenge is to balance cost, performance, and security. Switching to aluminum or copper-clad steel for some applications is a workable solution, but it is not a complete fix.
For the critical grounding and high-power systems that keep a data center running safely, copper remains the standard.
What to Watch Next
The industry is watching two things. First, whether more states will tighten their scrap metal laws and improve enforcement. Second, whether material science can produce a viable alternative for those last, essential copper applications.
For now, the message for anyone involved in data center construction is to secure their sites, mark their copper, and talk to their security team about the risks. And for the broader public, the lesson is that the metal in the walls has become a quiet target for a persistent, costly crime.
