Global copper prices surged by 17% following former U.S. President Donald Trump’s announcement of a sweeping 50% tariff on imported industrial metals, sending shockwaves through commodity markets and raising concerns among manufacturers and global trade partners.
The tariff—aimed at protecting U.S. mining and metal production—sparked immediate fears of supply chain disruptionsand higher input costs for sectors heavily reliant on copper, including construction, electronics, and renewable energy.
Traders rushed to secure physical supply amid worries that global flows of copper could tighten significantly, driving the benchmark London Metal Exchange (LME) copper price to its highest level in over a year.
Economists warn that the policy could lead to retaliatory measures from major exporters, including Chile and Peru, and potentially trigger a broader trade conflict. Meanwhile, U.S. manufacturers expressed concern over rising raw material costs, which could ultimately feed into consumer inflation.
Analysts expect copper markets to remain volatile in the coming weeks as investors digest the long-term impact of the tariff and monitor potential policy responses from U.S. allies and trade rivals.
