Trump hits copper imports with 50% tariff amid trade push
"I believe the tariff on copper, we're going to make 50%," Trump said.After Trump spoke, US Commerce Secretary Howard Lutnick said in an interview on CNBC that the copper tariffs would likely be put in place by the end of July or August 1. He said Trump would post details on his Truth Social media account sometime on Tuesday.Trump had yet to formally announce the tariffs by Wednesday evening and several countries, mining companies and trade groups said they were awaiting firm details.Analysts with RBC Capital Markets said they expect short-term volatility in copper prices and shares of copper companies should the tariff be implemented.In February, the administration announced a so-called Section 232 investigation into US imports of the red metal. The deadline for the investigation to conclude was November, but Lutnick said the review was already complete."The idea is to bring copper home, bring copper production home, bring the ability to make copper, which is key to the industrial sector, back home to America," Lutnick said.The National Mining Association declined to comment, saying it preferred to wait until details were released. The American Critical Minerals Association did not immediately respond to requests for comment.Copper is used in construction, transportation, electronics and many other industries. The US imports roughly half of its copper needs each year and only has three copper smelters.Major copper mining projects across the U.S. have faced strong opposition in recent years due to a variety of reasons, including Rio Tinto RIO.AX, RIO.L and BHP's BHP.AXResolution Copper project in Arizona and Northern Dynasty Minerals' NDM.TOPebble Mine project in Alaska.Shares of the world's largest copper producer, Phoenix-based Freeport-McMoRan FCX.N, shot up more than 5% at one point in Tuesday trading. The company, which produced 1.26 billion pounds (571,530 metric tonnes) of copper in the U.S. last year, did not immediately respond to a request for comment.advertisementFreeport, which would benefit from US copper tariffs but worries that the duties would hurt the global economy, has advised Trump to focus on boosting US copper production.Countries set to be most affected by any new US copper tariff would be Chile, Canada and Mexico, which were the top suppliers to the U.S. of refined copper, copper alloys and copper products in 2024, according to US Census Bureau data.Chile, Canada and Peru - three of the largest copper suppliers to the US - have told the administration that imports from their countries do not threaten US interests and should not face tariffs. All three have free trade deals with the US.Mexico's Economy Ministry and Canada's Finance Ministry did not immediately respond to requests for comment, while Chile's Foreign Ministry said it had not received any formal communication about the tariffs.Chile's Mining Ministry declined to comment. Chairman Maximo Pacheco of Codelco, the country's top copper miner, told Reuters the company wanted to know which copper products would be included and if the tariff would hit all countries.Pierre Gratton, president of the Mining Association of Canada, said the tariff is concerning for copper smelters such as Glencore's GLEN.L Horne facility in Quebec. Gratton added he was waiting for the 232 report from Trump officials.advertisementA 50% tariff on copper imports would hit US companies that use the metal because the country is years away from meeting its needs, said Ole Hansen, head of commodity strategy at Saxo Bank."The U.S. has imported a whole year of demand over the past six months, so the local storage levels are ample," Hansen said. "I see a correction in copper prices following the initial jump."- Ends
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
7 minutes ago
- Time of India
Markets await US CPI for tariff impact clues amid Trump's trade threats: Peter Cardillo
"The higher end of the tariff scale is just a threat and we just have to wait and see whether or not they will be imposed or whether or not they will have an inflationary impact. But again, they are just negotiating starts and that most nations will work out a deal and whether or not we get 10% or 6% in tariff implementation of tariffs is yet to be seen but some sort of a deal will be worked out. I do not think that Trump will go ahead with these steep tariffs," says Peter Cardillo , Spartan Capital Securities . US President Donald Trump yesterday made some bold comments surrounding Russia. One, he said he is disappointed with Russian President Putin. And he also said that if they do not come out with a deal over the next 50 days, then severe tariffs could be imposed. How do you read this and do you expect the dust to settle down over a period of time? Peter Cardillo: Well, obviously President Trump is imposing steep tariffs, not only is he indicating to Russia that if a deal is not made within 50 days that tariffs will be 100%, but he is doing it with most other countries that letters were sent out. It is just a bargaining point. And of course, in the case of Russia, it might be a little bit different because we are not talking about tariffs on imported goods, but rather on the war factor. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 5 Books Warren Buffett Wants You to Read In 2025 Blinkist: Warren Buffett's Reading List Undo So, it is a question now whether or not Russia begins to think seriously on ending the war in Ukraine. And so, the more pressure that Trump puts on Russia along with other European nations, the greater the chances of some sort of a truce may happen. And let us not forget something very important that the Russian economy is in dire straits, so he really cannot afford steep tariffs nor can he afford more sanctions. So, there is a possibility that some sort of a truce could happen within the next 50 days. I wanted to understand your view on the tariffs that will be imposed starting August 1st on EU and Mexico as well. You did previously say that tariffs at these levels are unlikely to be implemented, but that August one deadline is looming. So, do you believe a resolution will be out before that or do you think these tariffs will be implemented at these levels? Peter Cardillo: Well, again, if I heard the question correctly because the audio is not that great, the situation with Mexico is like every other nation. However, Mexico did say that they have a contra plan and, of course, we have to see what this contra plan is all about and whether or not the administration accepts it. Live Events I believe there will be a deal with Mexico along with other major nations. It is just a question of what type of a deal. Do I believe that these steep tariffs that President Trump suggests that will be implemented on August 1st go through? I do not think so. They will be much less and then, of course there is the question of whether or not they will be met with a surge in tariff inflation. In fact, today we will be getting some inflation news that is the CPI and there could very well be some hint of whether or not inflation is beginning to emerge from some of the tariffs. But he has also made some comments on tariff on Russia and secondary tariffs on all those countries who buy Russian energy. Do you think that this is merely a threat and Trump is using it as a negotiating tool or perhaps could it translate into something concrete? Peter Cardillo: Well, it is a combination. It is a negotiating tool and it is also a way of Trump trying to bring together this trade war and lessen its burdens and this burden that could have on the global economy . So far, we have not seen any evidence of inflation popping up anywhere. We saw numbers out of India which suggest inflation continues to move lower and it all depends how steep these tariffs are going to be. So, so far, the higher end of the tariff scale is just a threat and we just have to wait and see whether or not they will be imposed or whether or not they will have an inflationary impact. But again, they are just negotiating starts and that most nations will work out a deal and whether or not we get 10% or 6% in tariff implementation of tariffs is yet to be seen but some sort of a deal will be worked out. I do not think that Trump will go ahead with these steep tariffs.
Indian Express
11 minutes ago
- Indian Express
‘Disappointed but not done with Putin': Trump after announcing weapons support for Ukraine
US President Donald Trump has said that he is 'disappointed' with his Russian counterpart Vladimir Putin but not done with him after the former announced weapons support to Ukraine, including Patriot missiles. When asked by the BBC whether the US president trusts Putin, he responded saying 'I trust almost no-one.' Trump, who was speaking to BBC in a telephonic interview published on Tuesday, said he thought a ceasefire deal between Russia and Ukraine was on the cards at least four different times but it didn't fructify. The US president spoke hours after he issued a warning to Russia to broker a ceasefire deal with Ukraine or face sanctions with a deadline of 50 days. 'I'm disappointed with him (Putin), but I'm not done with him. But I'm disappointed with him,' Trump said. He added 'We'll have a great conversation. I'll say: 'That's good, I'll think we're close to getting it done,' and then he'll knock down a building in Kyiv,' BBC reported. Great meeting with @POTUS today. We're already delivering on decisions from the #NATOSummit in a major way, bringing together more spending, more production & more support to Ukraine. Russia's brutality needs to stop – this new initiative will help deliver just and lasting peace — Mark Rutte (@SecGenNATO) July 14, 2025 After announcing new weapons for Ukraine on Monday, the US president threatened further sanctions on buyers of Russian exports, especially oil, unless Moscow agrees to a truce with Kyiv. It is being viewed as a major policy shift in the Trump administration's stance towards dealing with Russia as the US president showed a more conciliatory approach when he returned to the White House in January, but now the US government has signalled disenchantment with Putin due to Moscow's ongoing attacks on its neighbor. During the interview from the Oval Office, Trump endorsed NATO after having described the 32-countries military alliance as obsolete. The Republican leader further affirmed his support for the organisation's common defence principle. Asked about the assassination attempt which took place in July 2024, Trump said he would like to think about it as little as possible. 'I don't like to think about if it did change me, could be life-changing,' he said.
Time of India
17 minutes ago
- Time of India
Are diamonds forever? Surat's sparkle wanes as war and tariffs cut deep
Surat , known as the diamond hub of India, has been facing challenging times over the past few years. Problems stemming from the Russia-Ukraine war, the Israel-Palestine conflict, and Trump tariffs have adversely impacted the diamond trade, jeopardising the future of a city responsible for 90% of the world's diamond cutting and polishing. The statistics further reveal the slump in trade. As per data from industry body Gem and Jewellery Exports Promotion Council ( GJEPC ), the overall gross exports of cut and polished diamonds during April-June 2025 amounted to $2837.29 million, reflecting a decline of 22.72% from $3,671.33 million for the same period in the previous year. In fact, in April, India's exports of cut and polished diamonds plummeted to their lowest level in nearly two decades in FY 2024-25 due to sluggish demand from the United States and China, as per a Reuters report. Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Join new Free to Play WWII MMO War Thunder War Thunder Play Now Undo Surat's significance as a diamond city is well known all over the world. The city is home to approximately 4,000 operational diamond factories, employing over a million people. Industry experts contend that the dismal situation has been further aggravated by US tariffs, leaving the industry uncertain about how things will unfold in the times ahead. Pintu Dholakia, CEO of Surat-based Hari Krishna Exports , says that the double-digit duty coming into the industry will further diminish the already low profit margins that are present. 'This has been the final blow leading to the downfall,' he states, ruefully. Losing Lustre Live Events Jewellery manufacturers in the city do not see any significant improvement in the trade for the next couple of years. Some have also changed their strategy in response to the current situation by focusing on other geographies beyond the US, such as Europe and Asia. 'We want to reduce our dependence on the US market, as three months have already passed, and we don't know how Trump's strategy will pan out. Our other focus is India, where consumers are fond of branded jewellery, so that we can sell most of the products to Indian consumers as well,' Dholakia elucidates. In addition to the tariffs, several other factors have played spoilsport over the years for the industry. Russia's invasion led the EU and G7 to ban imports of Russian diamonds from third countries, limiting access to raw material used by the diamond industry in India. The ban, which came into effect in March 2022, led to many job losses, salary cuts, and suicides resulting from financial distress. This was followed by the Israel-Palestine conflict, which put immense pressure on India's diamond supply chains. Cut and polished diamonds, the highest exported commodity category to Israel, fell 11.24% year-on-year to $1.2 billion in FY23. In imports, rough diamonds, the highest exported commodity from Israel, fell nearly 53% to $519 million, according to industry data. In fact, a Surat-based major diamond manufacturing firm, Kiran Gems , had even declared a 10-day 'vacation' for its 50,000 employees from August 17 to 27 last year, citing diminished demand for polished diamonds in international markets due to recession, a PTI report stated. Moreover, the advent of lab-grown diamonds (LGDs) has also taken the sheen away from natural diamonds. However, there are both pros and cons to it, experts say. Jayanti N. Savaliya, Regional Chairman-Gujarat Region, GJEPC, states that though natural diamond trade has been impacted with LGDs making a foray, it has also helped in survival for the industry. 'LGDs came up as an alternative to those looking for work. So, there are advantages as well as disadvantages to it. There was stability in the Surat market, and workers did not go unemployed. So, though the industry was facing an impact due to low trade volumes, LGDs helped sustain some momentum,' he highlights. Brand Surat Going forward, Savaliya is of the view that Surat needs to up the ante on technology, branding, and quality to stay competitive. 'More focus should be on value-added jewellery, which can then be exported. Skill work development also needs to happen so that industry can understand more about LGDs, which are tech-based. Besides this, exporters need to be imparted with more awareness and tech education so that they can deliver products that are of international standards and quality,' he says. Affirming his views, Vijay Mangukiya, Managing Director at Dhani Jewels, says that even though it is a challenging time right now, people have found a way to diversify and move ahead. He adds a caveat, though. 'They need to cater to the current global trends and what consumers want. This is what will translate to survival for them. Natural diamonds will have their own market, and so will lab-grown ones. As the jewellery industry survives on new categories, creation and innovation will take centre stage. Those who are not able to align with the shift will not survive in this industry,' Mangukiya states. In this cut-throat industry characterised by profit margins, agility and the capacity to think quickly are essential for maintaining stability. Dholakia mentions that Surat is now slowly also elevating itself as a jewellery manufacturing hub. 'In the past couple of years, 200-500 units have sprung up in the city. Since money is not able to get capitalised in the natural diamond business, people are looking to diversify in jewellery manufacturing instead. Ultimately, everyone has the money; they just have to see where to utilise the capital to get lucrative returns,' he says. Dholakia is hopeful that the gem and jewellery industry will be taken into account in the trade deal being negotiated between India and the US. 'We are employing more than 10 million people and are a significant contributor to the GDP. Hence, the industry should be factored in during the trade deal. We are one of the most beautifying industries, where jewellery is worn not just by people but also by Gods and Goddesses in temples. We see that our industry is forever, as diamonds are forever,' he emphasises categorically.
