Copper is suddenly a lot more expensive in the U.S. than anywhere else in the world—and President Trump is the reason why.
He slapped a 50% tariff on all copper imports, and by the end of Tuesday, U.S. copper prices had jumped 13%, closing at $5.69 a pound. That marks the biggest single-day surge in over 30 years. In contrast, copper prices in London barely moved, ticking up just 0.3%.
Even before the tariff, U.S. copper was pricey. Now, it's hitting levels that could weigh on consumer spending, squeeze business profit margins, and derail major infrastructure efforts. Nearly half the copper used in the U.S. comes from abroad, and it’s essential for everything from home appliances and electric vehicles to housing construction and AI servers.
Trump’s stated goal is to boost domestic copper production—but according to industry insiders speaking to CNBC, that’s not happening anytime soon.
There’s no quick path to self-sufficiency. Building up mining capacity in the U.S. could take years, if not decades—and only if investors are willing to pour in billions immediately.
Traders had been bracing for tariffs since February. They didn’t know the exact rate or rollout date, but the move was widely expected. In the meantime, copper shipments from Europe and Asia were already being redirected to the U.S. in anticipation.
Now that the 50% tariff is official, there’s still a lot of uncertainty around the implementation timeline and whether there will be exemptions. Commerce Secretary Howard Lutnick told CNBC the new rate could kick in “around the end of July, maybe August 1.”
That hasn’t stopped the price gap between U.S. copper and the global benchmark from exploding. Typically, the price difference between the U.S. Comex market and the London Metal Exchange is negligible. A year ago, it was about $150 per ton. Since February, that spread has swung between $500 and $1,500. On Tuesday, it surged to $2,600 per ton, according to Benchmark Mineral Intelligence.
Benchmark analysts say that if the tariff does go live August 1, U.S. copper could soar to $15,000 per metric ton—while the global price hovers closer to $10,000. That’s a huge price wall.
