Copper Imports Surge Amid Tariff Uncertainty

Copper imports into the US have surged to their highest level in at least 12 years, with over 200,000 metric tons arriving in July. This influx is being closely watched as it has been built at the expense of supplies in the rest of the world.

Inventories in LME warehouses outside the US have fallen sharply this year as traders diverted metal to American ports to capture higher prices. The flows have accelerated even after a June 30 deadline for Commerce Secretary Howard Lutnick to recommend action on tariffs passed without an announcement.

The threat of tariffs is allowing the US to build stockpiles of copper, a metal increasingly viewed as strategic for power grids, artificial intelligence, electric vehicles, and defense. Official Comex inventories have climbed more than 40% this year to a record, while the total US copper hoard is widely estimated at well above 1 million metric tons.