White House Copper Tariff Delay Sends Prices Soaring
The White House missed its deadline to decide on tariffs for refined copper imports, leading to record prices and market dislocations that are costing technology manufacturers. The administration's indecision has been ongoing since February 2025, when President Trump signed an executive order directing the Commerce Department to investigate potential tariffs for copper imports.
According to Reuters, two people familiar with the matter confirmed that the deliberation is effectively stalled due to a political reality that has become uncomfortable heading into November's midterm elections. The administration wants to shield domestic copper mining from tariffs while avoiding inflationary costs for manufacturers across semiconductors, electric vehicles, defense hardware, and artificial intelligence infrastructure.
Copper prices have been trading in elevated territory since the June 30 deadline, with COMEX futures reaching an all-time record of $14,781 per tonne on August 5, 2026. Traders and industrial buyers are racing to build U.S. inventories ahead of any future refined copper duty.
The United States currently operates only two copper smelters capable of producing refined cathode: Rio Tinto's Kennecott operation in Salt Lake City, Utah, and Freeport-McMoRan's Miami Smelter in Arizona. The country imports approximately 50% of its refined copper needs, a figure expected to rise to 70% within the next 10 to 15 years without significant new investment.