US President Trump Announces 50% Tariff on All Imported Refined Copper

US President Donald Trump's 50% copper tariff will include refined copper, impacting a vital material for electric grids, construction, automaking, and consumer electronics. The tariff will also apply to semi-finished products. Industry representatives have asked the White House to exclude copper scrap exports, as the US is a significant generator of metal scrap that is often shipped abroad.

US President Donald Trump's latest tariff announcement, set to take effect on August 1, includes a 50% levy on imported copper, impacting refined copper and semi-finished products. This move is part of Trump's broader effort to bolster American production of one of the world's most ubiquitous materials [1].

Refined copper, which represents the largest category of imported copper, is vital for various industries, including electric grids, construction, automaking, and consumer electronics. The tariff will likely increase costs for these sectors, potentially leading to higher prices for consumers and businesses [1].

Industry representatives have urged the White House to exclude copper scrap exports, as the US is one of the world's largest generators of metal scrap. The extra metal is often shipped abroad, and excluding it from tariffs could help mitigate potential disruptions in the global supply chain [1].

The announcement comes as Trump continues to push through with his tariff agenda, unveiling a new batch of letters to country leaders outlining tariffs on goods imported from their countries. This includes a 50% tariff on Brazilian goods and a warning to BRICS nations [2].

Copper futures have responded to the announcement, with prices rising around 2% as traders reacted to the tariff decision. The weaker U.S. dollar and rising optimism about stimulus measures in top-consuming countries have also contributed to the rally [3].

The tariff is expected to lead to persistent regional price distortions and higher costs for domestic manufacturers, particularly in sectors like construction, renewable energy, and electric vehicles. However, it may also help China by shifting the global supply chain [3].

As the tariffs take effect, the global copper market will need to adapt, with potential increases in global mine production to meet demand. Fitch's BMI expects global copper mine production to rise by an average annual rate of 2.9% over 2025-2034, with annual output rising from 23.8 mnt in 2025 to 30.9 mnt by 2034 [3].

References:

[1] https://www.bloomberg.com/news/articles/2025-07-11/trump-s-50-copper-import-tariff-said-to-include-refined-metal
[2] https://finance.yahoo.com/news/live/trump-tariffs-live-updates-brazil-copper-hit-with-50-tariffs-as-india-seeks-to-dodge-trumps-brics-wrath-200619819.html
[3] https://seekingalpha.com/news/4466330-copper-futures-jump-2-after-trump-tariff-decision-global-mine-output-seen-rising-25-in-2025