Three-year copper futures on the London Metal Exchange (LME) rose up to 3.1 percent, to a record $13,387.50 per ton, surpassing the maximum set the day before.
The rise in prices was fueled by expectations that President Donald Trump’s administration could impose tariffs on refined copper, which led to a massive shift of supplies to the United States, according to Bloomberg.
Because of this, the supply of copper in the rest of the world is limited, and miners are unable to significantly increase production.
The London Metal Exchange’s LMEX index, which tracks the prices of six key metals, jumped to its highest level since March 2022, while copper has risen more than 20 percent since the end of November.
Copper stocks in LME warehouses have almost halved compared to last year, and market indicators point to short-term pressure on supply.
US copper imports in December rose to their highest level since July, after trade revived on announcements that tariffs on refined copper could be considered as early as 2026.
The United States Department of Commerce should submit an updated report on the copper market by the end of June, after which a decision on possible tariffs is expected.
An earlier proposal included a 15 percent customs duty from 2027, with an increase to 30 percent in 2028, but that plan has not yet been confirmed, reports Tanjug.
(Vijesti.ba)
