US Tariff Fears Send Copper Prices Soaring to Record High

Copper prices have surged to a new record high on the London Metal Exchange, reaching $14,533 a metric tonne. This is despite global inventories remaining relatively high, but copper stocks have become concentrated in the United States, leaving less metal available through the LME network.

The rally has been driven by expectations of wider US tariffs on refined metal, which has led to traders moving supplies into the US and tightening availability elsewhere. The US Commerce Department was due to advise the White House on the need for tariffs on refined copper more than two months after the June 30 deadline, but no final decision has been disclosed.

Copper futures have risen by about 17% this year and 47% over the past 12 months. Additionally, shares of state-owned Hindustan Copper Ltd surged more than 5% on Tuesday, touching an intraday high of Rs 537.35 on the BSE.