Copper Prices Boom After Trump Threatens 50% Import Tariff

Tariff Adjustments for Key Import Sectors

In a recent statement, the president outlined a plan to raise duties on major imported goods.

• Steel and Aluminum: A 50% tariff will be imposed to match current rates on these metals.
• Pharmaceutical Drugs: The president indicated an intention to enforce a tariff of up to 200% on this sector.

US President Announces Potential Tariff on Copper Imports

After President Donald Trump announced the possibility of a 50% import duty on copper, prices on the New York market surged to a record close of $5.69 per pound, a jump of roughly 13%. London’s copper futures also climbed, though the increase was noticeably less pronounced.

Price Movement

• At 3:30 am EDT on Wednesday, the New York price settled around $5.59, still well above pre‑announcement levels.
• The rise reflects a sharp shift in market expectations following the president’s camera‑on statement during a cabinet session.

Policy Details

• Commerce Secretary Howard Lutnick confirmed that the administration will formalise the tariff in the near term, potentially taking effect by month‑end or early August.
• Trump has provided letters to partners outlining newly imposed rates, with seven additional country‑specific duties announced for the same day.
• Existing trade agreements with the UK, China, and Vietnam have been referenced in these communications.

Implications

The new mercury tariff will impact a broad spectrum of goods—electronics, construction materials, and industrial machinery—likely driving a general increase in consumer prices.

In addition to copper, President Trump hinted at an impending 200% tariff on pharmaceuticals, promising a full year for industry adjustment.

Economic Context

Central Bank Chair Jerome Powell’s remarks indicate that current monetary policy could have been eased if not for the uncertainty introduced by these tariffs. The Securities and Exchange Commission, meanwhile, urges investors to remain prudent as trade dynamics evolve.

Trade Figures and Annotations

The U.S. Geological Survey reports that last year’s refined copper imports totaled about 810,000 metric tons—roughly half of domestic consumption—primarily from Chile and Canada.

While the exact tariff rate remains undisclosed, the move aligns copper duties with those levied on aluminum and steel, effective since June.