United States refined copper tariff proposals

The United States is considering new tariffs on refined copper, a move that has introduced significant volatility into global metal markets. Initially, the U.S. Department of Commerce proposed a phased implementation of tariffs on refined copper, starting at 15% on January 1, 2027, and rising to 30% on January 1, 2028. This proposal followed potential investigations under Section 232 of the Trade Expansion Act.

As of September 2026, reports indicate that the White House has delayed decisions regarding tariffs on refined copper imports, such as cathodes and anodes. Officials are reportedly weighing the benefits of encouraging domestic mining and refining against the risk of increased manufacturing costs for American businesses, particularly in the lead-up to the November midterm elections.

This delay has caused copper prices to plunge, unwinding a speculative premium that had previously pushed the metal to record highs. Copper futures on the COMEX fell by as much as 5.4%, with benchmark prices on the London Metal Exchange also retreating. Major mining companies, including Freeport-McMoRan, Southern Copper, and Capstone Copper, experienced significant share price drops.

Market volatility has been further exacerbated by cooling industrial demand in China, where August copper imports reached a six-year low. The convergence of uncertain U.S. trade policy and softening Chinese demand has created a highly volatile environment for the metal, which is essential for electronics, construction, and renewable energy infrastructure.