Copper Rises as US Tariff Set to Begin Aug. 1

Copper futures climbed to around $5.60 per pound on Thursday, hovering near all-time highs, after US President Donald Trump confirmed that a 50% tariff on copper imports will take effect on August 1. The announcement followed the conclusion of a national security review, Trump stated on Truth Social. He emphasized copper’s strategic importance, noting it is the second most-used material by the Department of Defense and critical to industries such as semiconductors, aerospace, ammunition, data centers, lithium-ion batteries, radar systems, missile defense, and hypersonic weapons. The move pushed the premium on US copper futures over London Metal Exchange contracts to a record 25%, as international benchmarks declined, signaling the end of increasing domestic stockpiles as traders moved copper into the US since tariff threats on base metals started in February. The US imports almost half of the copper it consumes, with the majority sourced from Chile.