Copper Prices Soar to Near-Record High Amid AI Demand and US Inventory Buildup

Copper prices have surged to near-record levels due to surging demand from the artificial intelligence industry, inventory buildup in the U.S., and a supply shortage.

According to Nikkei and Bloomberg, three-month futures reached $13,791 per metric ton by the end of last week, and on Monday the price rose to $13,970. This is only slightly below an all-time high of $14,527.5, set at the end of January.

The sharp rise in demand in the U.S. has been a major contributor to the price increase, with more than 200,000 metric tons of copper arriving at U.S. ports in July, the largest monthly volume in the history of IHS Markit’s statistics, which have been tracked since 2014.

Traders continue to import metal into the U.S. as they await a decision from the administration regarding possible imposition of import duties on refined copper.