Quick overview
- President Trump signed a proclamation imposing a 50% tariff on semi-finished copper products, effective August 1, citing national security concerns.
- The tariffs exclude copper scrap and raw materials, and include measures to support the domestic copper industry.
- Copper prices fell significantly following the announcement, reflecting market anticipation of the tariffs.
- In a separate move, Trump announced a 25% tariff on goods imported from India due to high tariffs on U.S. products and India’s purchases from Russia.
U.S. President Donald Trump signed a proclamation on Wednesday imposing a 50% tariff on semi-finished copper products and copper-intensive derivatives, effective August 1, citing national security concerns.
The tariffs will not apply to copper scrap or raw materials such as copper ores, concentrates, blister, cathodes, or anodes, according to the statement. The move follows a Section 232 investigation ordered by Trump in February.
Alongside the tariffs, the order includes measures to support the domestic copper industry—most notably, a requirement that 25% of high-grade copper scrap produced in the U.S. be sold domestically.
Copper prices fell as much as 18% before trimming losses, trading at $5.1310 per pound. Much of the U.S. market had anticipated some form of tariff on raw copper, a key input for wiring and other materials widely used in construction and automotive manufacturing.
The U.S. imported $17 billion worth of copper last year, according to Commerce Department data. Chile was the largest foreign supplier, shipping $6 billion worth of copper to the U.S. in 2024.
More Tariffs: Trump Targets India with New Trade Penalties
U.S. President Donald Trump announced a new 25% tariff on goods imported from India, along with an additional penalty tied to India’s ongoing purchases of oil from Russia.
Posting on Truth Social Wednesday, Trump said that while “India is our friend,” its tariffs on U.S. products are “far too high.” He also criticized India for buying military equipment and oil from Russia—actions he claims have helped prolong the war in Ukraine.
As a result, Trump said the U.S. will impose an extra trade penalty on Indian imports starting Friday, as part of a broader update to tariffs affecting multiple countries.
Ignacio Teson
Economist and Financial Analyst
Ignacio Teson is an Economist and Financial Analyst. He has more than 7 years of experience in emerging markets. He worked as an analyst and market operator at brokerage firms in Argentina and Spain.
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