Commodities
Copper Price Premium Signals Rising Odds of New Tariffs by 2027-2028
The price difference between US copper futures and London Metal Exchange prices is being closely watched for signs of new tariffs on refined copper. Societe Generale estimates a 14.6% chance of a 15% tariff in January 2027 and a 37% chance of a 30% tariff in January 2028.
This comes amid a 12-year high in US copper imports, with traders awaiting a White House decision on further levies. The tariffs aim to reduce US reliance on imported copper, which is critical for industries like AI, grid modernization, and defense.
The copper price premium signals rising odds of new U.S. tariffs by 2027-2028, according to Societe Generale estimates.