US Copper Imports Hit 12-Year High, Widening Spot Premium
US copper imports have reached a 12-year high, exceeding 200,000 metric tons in July 2026. This surge in imports has drained London Metal Exchange (LME) inventories by 14% and widened the spot premium.
The LME cash copper price closed at $14,424.50 per metric ton on August 11, a $207.50 premium to the three-month contract. The spread between the two contracts is known as backwardation, which has widened sharply from around $34 per ton in July, indicating tight availability of copper for immediate delivery.
Natalie Scott-Gray, senior metals demand strategist at StoneX, notes that the delayed White House tariff decision remains the market's main catalyst. A 15% tariff on refined copper starting January 1, 2027, would likely accelerate copper flows into US warehouses and tighten supplies outside the US.
The International Copper Study Group (ICSG) reported that global mine production fell 1.6% in the first five months of 2026, with output declining in Chile, the Democratic Republic of Congo, and Indonesia. This limited supply response has supported higher prices for copper.