US Tariff Fears Send Copper Prices Soaring to New Record High

Copper prices have hit an all-time high of $14,533 per metric tonne on the London Metal Exchange (LME) due to concerns over potential US tariffs. This marks a new record for copper futures, surpassing the previous high of $14,527.50 set in January.

The surge is largely driven by traders moving supplies into the United States in anticipation of wider US tariffs on refined metal, leaving less availability elsewhere. Copper stocks have become concentrated in the US, with global inventories remaining relatively high.

The rally also reflects a longer-term mismatch between supply and demand, with ageing mines struggling to keep pace with consumption from data centres, renewable energy projects, and power grids. Global copper mine output fell nearly 1% in the first half of this year, while concentrate production declined 2.6%, according to reports.