Copper Prices Soar as Trump Tariff Decision Looms

Copper prices have surged to a record high of over $14,700 a tonne due to concerns about US tariffs on refined copper imports. The uncertainty surrounding the tariffs has led to a rally in copper prices, with experts predicting that they will remain elevated until US President Donald Trump announces his decision.

The US Department of Commerce has proposed imposing a 15 per cent tariff on refined copper imports starting next year and rising to 30 per cent by 2028. The investigation report was due by June 30 but has been delayed, prolonging the uncertainty in the market.

ING Think, the financial and economic analysis wing of Dutch multinational financial services firm ING, said that tariff positioning has pulled large volumes of metal into the US, while COMEX inventories have risen to record levels. Meanwhile, less metal is available outside the US, tightening the London market and putting pressure on short positions.

BMI, a unit of Fitch Solutions, expects copper to remain caught between macro headwinds and US tariff uncertainty. The market is acutely exposed to further volatility and highly sensitive to West Asia jitters.