Latest news with #FreeportMcMoRan
CTV News
4 hours ago
- Business
- CTV News
Eby says B.C. insulated from Trump copper tariff, cites need for trade diversity
Copper anodes are cast at Furnace 8 at the Canadian Copper Refinery (CCR), part of the Glencore group, a copper and precious metal refinery in Montreal on Friday, July 25, 2025. (Christinne Muschi / The Canadian Press) VICTORIA — British Columbia Premier David Eby says an incoming 50 per cent United States tariff on some copper products highlights the need for diversified markets. He says the tariffs will affect provinces differently, pointing out that most of B.C.'s copper goes to Asia, keeping the province 'insulated' from tariff impact. But he says Ontario and Quebec are 'not in a similar' position. Natural Resources Canada says B.C. accounts for almost 46 per cent of mined copper production in Canada. The tariffs announced by the White House on Wednesday that are to come into effect on Friday appeared to fall short of some market expectations by exempting copper concentrate, anodes and cathodes that make up a large part of Canada's exports. Natural Resources Canada data suggest concentrates made up 36 per cent of Canada's total $9.3 billion in exports of copper and copper-based products in 2023. The market appeared to expect a tougher line from Trump on copper that could have kept prices at a premium, but instead producer Freeport-McMoRan saw its stock fall 9.5 per cent. 'The good news for British Columbians is that a copper tariff will have, we're hopeful, a minimal impact on British Columbia, because we have diversified markets here,' said Eby at an unrelated news conference on Wednesday. 'The majority of the copper concentrate that's produced here in British Columbia goes to Asian markets. And thank goodness for that. But it also underlines why we need to ensure diversification so that we're insulated from these kinds of attacks from the president.' This report by Wolfgang Depner of The Canadian Press was first published July 30, 2025.
CTV News
8 hours ago
- Business
- CTV News
Trump shocks markets with scaled-back copper tariff, U.S. prices plunge
President Donald Trump speaks in the Roosevelt Room of the White House, Wednesday, July 30, 2025, in Washington. (AP Photo/Mark Schiefelbein) The United States will impose a 50 per cent tariff on copper pipes and wiring, U.S. President Donald Trump said on Wednesday, but details of the levy fell short of the sweeping restrictions expected and left out copper input materials such as ores, concentrates and cathodes. The surprise move dragged down U.S. copper prices more than 17 per cent on the Comex exchange HGc2 and unwound a premium over the London global benchmark CMCU3 that had grown in recent weeks, with shipments diverted there in anticipation of higher domestic prices. 'Markets are now busily repricing refined copper much lower after Trump's epic backflip on his own import tariff policy,' said Tom Price, an analyst at the London brokerage Panmure Liberum. 'Someone must have finally got through to (Trump) that the U.S. economy simply can't afford this new trade-hit.' Freeport-McMoRan is likely to be among the most harmed by the trimmed tariff, according to RBC Capital Markets, with Hudbay Minerals, Arizona Sonoran and others developing mines in the country also affected. Trump first teased the tariff in early July, implying that it would apply to all types of the red metal, ranging from cathodes produced by mines and smelters to wiring and other finished products. Yet in a proclamation released by the White House, the administration said the tariff will apply starting this Friday only to pipes, tubes and other semi-finished copper products, as well as products that copper is heavily used to manufacture, including cable and electrical components. The move aids manufacturers, but does little to boost the constrained U.S. copper mining industry, which for years has asked Washington for permitting reform or other steps that could fuel growth. 'Copper is being imported into the United States in such quantities and under such circumstances as to threaten to impair the national security of the United States,' Trump said in his proclamation. The tariffs will exclude copper scrap and copper concentrates, mattes, cathodes and anodes, some of the main products of copper mines and smelters. The move is essentially a boost for Chile and Peru, two of the world's largest copper miners and major suppliers to the United States. The tariff details sparked a 'massive market surprise,' said Natalie Scott-Gray, senior metals analyst at the consultancy group StoneX, adding that she expects U.S. copper prices to fall further. Anant Jatia, founder and chief investment officer at Greenland Investment Management, a hedge fund specializing in commodity arbitrage trading, told Reuters he expects London copper prices to surpass U.S. prices in the short term as American inventories build. More possible The measure came after a U.S. investigation under Section 232, which Trump ordered in February. The report was delivered to the White House on June 30 by Commerce Secretary Howard Lutnick, according to the proclamation. Trump said he may still impose further tariffs, and has asked Lutnick to provide an update on the domestic copper market by June 2026. At that point, Trump will evaluate whether to impose a phased universal import duty on refined copper of 15 per cent starting in 2027, and of 30 per cent starting in 2028, he said. Along with tariffs, the order calls for steps to support the domestic copper industry, including requiring 25 per cent of high-quality scrap produced in the U.S. to also be sold within the country. Freeport, the largest U.S. copper producer, said it would comment after it reviewed Trump's order in detail. Chile's Codelco, the world's biggest copper producer, praised the exclusion of cathodes as a positive for the company and for Chile, which is the top supplier of refined copper to the U.S. BHP, which operates the world's largest copper mine in Chile, and Antofagasta, which ships copper from Chile to the U.S. and wants to build a U.S. copper mine, did not immediately reply to requests for comment. (Reporting by Daina Beth Solomon in Santiago, Ernest Scheyder in Houston, Divya Rajagopal in Toronto, and Pratima Desai and Polina Devitt in London; additional reporting by Ismail Shakil in Ottawa; writing by Ernest Scheyder; editing by Veronica Brown, Marguerita Choy and Rosalba O'Brien)
Reuters
9 hours ago
- Business
- Reuters
Trump shocks markets with scaled-back copper tariff, US prices plunge
July 30 (Reuters) - The United States will impose a 50% tariff on copper pipes and wiring, President Donald Trump said on Wednesday, but details of the levy fell short of the sweeping restrictions expected and left out copper input materials such as ores, concentrates and cathodes. The surprise move dragged down U.S. copper prices more than 17% on the Comex exchange and unwound a premium over the London global benchmark that had grown in recent weeks, with shipments diverted there in anticipation of higher domestic prices. "Markets are now busily repricing refined copper much lower after Trump's epic backflip on his own import tariff policy," said Tom Price, an analyst at the London brokerage Panmure Liberum. "Someone must have finally got through to (Trump) that the U.S. economy simply can't afford this new trade-hit." Freeport-McMoRan(FCX.N), opens new tab is likely to be among the most harmed by the trimmed tariff, according to RBC Capital Markets, with Hudbay Minerals ( opens new tab, Arizona Sonoran ( opens new tab and others developing mines in the country also affected. Trump first teased the tariff in early July, implying that it would apply to all types of the red metal, ranging from cathodes produced by mines and smelters to wiring and other finished products. Yet in a proclamation released by the White House, the administration said the tariff will apply starting this Friday only to pipes, tubes and other semi-finished copper products, as well as products that copper is heavily used to manufacture, including cable and electrical components. The move aids manufacturers, but does little to boost the constrained U.S. copper mining industry, which for years has asked Washington for permitting reform or other steps that could fuel growth. "Copper is being imported into the United States in such quantities and under such circumstances as to threaten to impair the national security of the United States," Trump said in his proclamation. The tariffs will exclude copper scrap and copper concentrates, mattes, cathodes and anodes, some of the main products of copper mines and smelters. The move is essentially a boost for Chile and Peru, two of the world's largest copper miners and major suppliers to the United States. The tariff details sparked a "massive market surprise," said Natalie Scott-Gray, senior metals analyst at the consultancy group StoneX, adding that she expects U.S. copper prices to fall further. Anant Jatia, founder and chief investment officer at Greenland Investment Management, a hedge fund specializing in commodity arbitrage trading, told Reuters he expects London copper prices to surpass U.S. prices in the short term as American inventories build. The measure came after a U.S. investigation under Section 232, which Trump ordered in February. The report was delivered to the White House on June 30 by Commerce Secretary Howard Lutnick, according to the proclamation. Trump said he may still impose further tariffs, and has asked Lutnick to provide an update on the domestic copper market by June 2026. At that point, Trump will evaluate whether to impose a phased universal import duty on refined copper of 15% starting in 2027, and of 30% starting in 2028, he said. Along with tariffs, the order calls for steps to support the domestic copper industry, including requiring 25% of high-quality scrap produced in the U.S. to also be sold within the country. Freeport, the largest U.S. copper producer, said it would comment after it reviewed Trump's order in detail. Chile's Codelco, the world's biggest copper producer, praised the exclusion of cathodes as a positive for the company and for Chile, which is the top supplier of refined copper to the U.S. BHP ( opens new tab, which operates the world's largest copper mine in Chile, and Antofagasta (ANTO.L), opens new tab, which ships copper from Chile to the U.S. and wants to build a U.S. copper mine, did not immediately reply to requests for comment.
The Guardian
9 hours ago
- Business
- The Guardian
Trump administration plans to impose 50% tariff on copper pipes and wiring
The Trump administration announced plans to impose a 50% tariff on copper pipes and wiring, roiling US prices after details of the levy fell short of the sweeping restrictions expected. By leaving out copper input materials such as ores, concentrates and cathodes, the new policy will fall significantly short of Donald Trump's initial threats to introduce a sweeping new levy on overseas shipments of the metal. The surprise move dragged down US copper prices more than 17% on the Comex exchange and unwound a premium over the London global benchmark that had grown in recent weeks, with shipments diverted there in anticipation of higher domestic prices. 'Markets are now busily repricing refined copper much lower after Trump's epic backflip on his own import tariff policy,' said Tom Price, an analyst at the London brokerage Panmure Liberum. 'Someone must have finally got through to [Trump] that the US economy simply can't afford this new trade-hit.' Freeport-McMoRan is likely to be among the most harmed by the trimmed tariff, according to RBC Capital Markets, with Hudbay Minerals, Arizona Sonoran and others developing mines in the country also affected. The US president first teased the tariff in early July, implying that it would apply to all types of the red metal, ranging from cathodes produced by mines and smelters to wiring and other finished products. Yet in a proclamation released by the White House, the administration said the tariff will apply starting this Friday only to pipes, tubes and other semi-finished copper products, as well as products that copper is heavily used to manufacture, including cable and electrical components. In the executive order, Trump said Howard Lutnick, the commerce secretary, had concluded 'that copper is being imported into the United States in such quantities and under such circumstances as to threaten to impair the national security of the United States'. The move aids manufacturers, but does little to boost the constrained US copper mining industry, which for years has asked Washington for permitting reform or other steps that could fuel growth. 'Copper is being imported into the United States in such quantities and under such circumstances as to threaten to impair the national security of the United States,' Trump said in his proclamation. The tariffs will exclude copper scrap and copper concentrates, mattes, cathodes and anodes, some of the main products of copper mines and smelters. The move is essentially a boost for Chile and Peru, two of the world's largest copper miners and major suppliers to the United States. Reuters contributed reporting
Yahoo
19 hours ago
- Business
- Yahoo
Are Wall Street Analysts Bullish on Freeport-McMoRan Stock?
Valued at a market cap of $62.9 billion, Freeport-McMoRan Inc. (FCX) is a leading mining company headquartered in Phoenix, Arizona. It is primarily engaged in the extraction of copper, gold (GCZ25), molybdenum, silver (SIU25), and other metals and plays a critical role in supplying key metals essential for global infrastructure, renewable energy, and advanced technologies. Shares of this mining company have lagged behind the broader market over the past 52 weeks. FCX stock declined 2.6% over this time frame, while the broader S&P 500 Index ($SPX) has soared 16.6%. Nonetheless, on a YTD basis, the stock is up 13.5%, outpacing SPX's 8.3% gain. More News from Barchart Here's What Happened the Last Time Novo Nordisk Stock Was This Oversold Earnings Will Be 'Worse Than Expected' for UnitedHealth. How Should You Play UNH Stock Here? As SoFi Raises 2025 Guidance, Should You Buy, Sell, or Hold SOFI Stock Here? Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. Narrowing the focus, FCX has underperformed the Ishares Copper And Metals Mining ETF's (ICOP) 5.4% return over the past 52 weeks and 18.3% uptick on a YTD basis. Freeport-McMoRan dropped a solid beat on July 23 - Q2 revenue jumped 14.5% year over year (YoY) to $7.6 billion, and EPS climbed 17.4% annually to $0.54, both ahead of Wall Street's targets. Stronger copper and gold prices, plus higher sales volumes, gave the quarter a solid lift. But the market was not impressed. Shares slid 2.1% post-earnings, as traders zoomed in on what's next – not what's done. Despite bullish catalysts like the 50% copper tariffs and a solid gold sales boost, Q3 guidance remained flat. Copper sales are expected to hold steady, while gold and molybdenum projections took a hit. For the current fiscal year, ending in December, analysts expect FCX's EPS to grow 22.3% YoY to $1.81. The company's earnings surprise history is mixed. It met or surpassed the consensus estimates in three of the last four quarters, while missing on one occasion. Among the 18 analysts covering the stock, the consensus rating is a 'Moderate Buy.' That's based on 10 'Strong Buys,' two "Moderate Buys,' and six 'Hold' ratings. This configuration is more bullish than two months ago, when nine analysts suggested a 'Strong Buy' rating. On July 23, Sam Crittenden from RBC Capital maintained a 'Hold' rating on FCX stock, with a price target of $54, which indicates a 24.9% potential upside from the current levels. The mean price target of $51.64 represents a 19.5% premium from FCX's current price levels, while the Street-high price target of $57 suggests an upside potential of 31.9%. On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
