Copper Surges to Record High on Supply Shortages and US Tariffs

Copper prices have reached an all-time high of $14,697 per ton at the London Metal Exchange (LME) due to supply-side constraints and potential US tariffs. Analysts point to ongoing supply concerns and the prospect of additional taxes on copper imports as key factors driving up prices.

The latest data shows that Chile's copper production fell 9.4% year-over-year due to adverse weather conditions, contributing to a shortage in global supplies. Commerzbank strategists note that copper prices continue to hover near their all-time highs, supported by reports of supply constraints and the Trump administration's plans to expand US tariffs on imports of refined metals.

The trade balance figures also play a role in supporting base metal markets, according to TD Securities. They argue that continued strength in overall exports would provide price support for copper and other metals.