Copper Price Soars to New All-Time High Amid Tariff Uncertainty

The copper price has reached an all-time high on the London Metal Exchange (LME), exceeding $14,533 per metric ton. This milestone was achieved due to a combination of factors, including US tariff uncertainty and weaker mine production.

According to Cristián Cifuentes, Cesco analyst, this is not a global supply issue, but rather a 'local shortage' caused by the geographical location of inventories.

Copper imports into the US surged in July, surpassing 220,000 tons. The Congo shipped a record 53,290 tons, accounting for 23.9% of total imports. However, the annual import volume from Congo is expected to be below 32,000 tons.

The reduced mine output has helped maintain high copper prices, while the refined sector remains in oversupply. Refined copper production rose by 2.4% in the first half, resulting in an excess supply of around 131,000 tons relative to demand.