Latest news with #USComex
Yahoo
5 days ago
- Business
- Yahoo
How commodity traders are cashing in on Trump's copper tariffs
American copper (HG=F) is on the move following President Trump's 50% tariff. Ramzan Karmali takes a closer look at the recent moves. To watch more expert insights and analysis on the latest market action, check out more Morning Brief: Market Sunrise here. Now, it's time for our call of the day. And we're looking at copper. So, President Trump's announcement earlier this week of a 50% tariff on copper, well, it's seen a trade opportunity arise that many commodity traders are certainly taking advantage of. Huge quantities of copper are being brought to the US by the likes of Trafigura, Mercuria, Glencore, and IXM before August the 1st. That's when the tariff kicks in. Now, US copper prices, you can see there, they surged 13% in the minutes after the announcement on Tuesday was made. And are now roughly 28% higher than prices on the London Metal Exchange. Traders are effectively buying the metal in London, shipping it to the US, and then selling it at the US Comex price there. But the window to take advantage of this is likely to be closing pretty soon as that deadline approaches. So, perhaps the focus should shift to US copper miners. The largest one out there is Freeport-McMoRan. It has exposure to Nevada's newly expanded Resolution copper mine. Its share price has risen around 40% since the start of April, up around 24% for the year. Now, it's also worth noting that the FTSE 100 in London hit a record high yesterday. And guess what? It was boosted by mining stocks because they're listed on there. And that all comes about as iron ore, aluminum, and nickel prices all rally too. So, I tell you this, this area of commodities is definitely one to keep an eye on. Sign in to access your portfolio
Dubai Eye
6 days ago
- Business
- Dubai Eye
Trump announces 50% tariff on copper effective August 1
US President Donald Trump announced on Wednesday a 50 per cent tariff on copper to start on August 1 in a bid to promote domestic development of an industry critical to defence, electronics and automobiles. The move marks the latest in a series of sector-specific tariffs Trump has imposed on industries such as steel and aluminium, which economists warn will increase costs for American consumers. Trump indicated on Tuesday that he was introducing new tariffs on copper, sending US Comex copper futures to record highs. The announcement came just hours after he also informed Brazil that its "reciprocal" tariff would rise from 10 per cent to 50 per cent on August 1, following a diplomatic spat earlier in the week with his Brazilian counterpart, who had described him as an unwelcome "emperor." Brazil's President Luiz Inácio Lula da Silva responded on Wednesday, stating that any new tariffs would be met with reciprocal measures. The White House launched a Section 232 investigation into copper imports in February, citing legislation that allows the president to impose higher tariffs on national security grounds. Trump said on Wednesday that he had received a "robust" national security assessment which concluded that tariffs were necessary to protect domestic production of a material critical to a wide range of industries. 'Copper is essential for semiconductors, aircraft, ships, ammunition, data centres, lithium-ion batteries, radar systems, missile defence systems and even hypersonic weapons, of which we are building many,' Trump stated in a post on his platform, Truth Social. The US relies on imports for nearly half of its refined copper supply and imported 810,000 metric tonnes in 2024, according to the US Geological Survey. Countries likely to be most affected by the new tariff include Chile, Canada and Mexico - the top suppliers of refined copper, copper alloys and related products to the US in 2024, according to US Census Bureau data. Chile, Canada and Peru have informed the US administration that their exports pose no threat to American interests and should be exempt from the tariffs. All three nations have free trade agreements with the US. The steep tariff is intended to encourage greater domestic production. More than two-thirds of US copper is mined in Arizona, where the development of a major new mine proposed by Rio Tinto Group and BHP Group Limited has been stalled for over a decade.
Business Recorder
6 days ago
- Business
- Business Recorder
Donald Trump announces 50% tariff on copper effective August 1
WASHINGTON: US President Donald Trump announced on Wednesday a new 50% tariff on copper to start on August 1 in a bid to promote domestic development of an industry critical to defence, electronics and automobiles. The move marks the latest in a string of sectoral tariffs Trump has placed on industries such as steel and aluminum that economists warn will drive up costs for American consumers. Trump signaled on Tuesday that he was imposing fresh tariffs on copper, sending US Comex copper futures to record highs. The White House ordered a Section 232 investigation into copper imports in February, using a law that gives the president authority to impose higher tariffs based on national security grounds. Trump said on Wednesday that he received a 'robust' national security assessment that concluded tariffs were necessary to protect US production of a commodity that is critical across an array of industries. 'Copper is necessary for Semiconductors, Aircraft, Ships, Ammunition, Data Centers, Lithium-ion Batteries, Radar Systems, Missile Defence Systems, and even, Hypersonic Weapons, of which we are building many,' Trump said in a post on Truth Social. Trump says US will charge Brazil with 50% tariff The US depends on imports for nearly half of its refined copper needs, and brought in 810,000 metric tons in 2024, according to the US Geological Survey. Countries set to be most affected by the tariff are Chile, Canada and Mexico, which were the top suppliers to the US of refined copper, copper alloys and copper products in 2024, according to US Census Bureau data. Chile, Canada and Peru 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 The steep tariff is designed to encourage production in the US More than two-thirds of the country's copper is mined in Arizona, where the development of a massive new mine planned by Rio Tinto and BHP has been stalled for more than a decade.
Deccan Herald
6 days ago
- Business
- Deccan Herald
Trump announces 50% tariff on copper effective from August 1
Trump signaled on Tuesday that he was imposing fresh tariffs on copper, sending US Comex copper futures to record highs.
ARN News Center
6 days ago
- Business
- ARN News Center
Trump announces 50% tariff on copper effective August 1
US President Donald Trump announced on Wednesday a 50 per cent tariff on copper to start on August 1 in a bid to promote domestic development of an industry critical to defence, electronics and automobiles. The move marks the latest in a series of sector-specific tariffs Trump has imposed on industries such as steel and aluminium, which economists warn will increase costs for American consumers. Trump indicated on Tuesday that he was introducing new tariffs on copper, sending US Comex copper futures to record highs. The announcement came just hours after he also informed Brazil that its "reciprocal" tariff would rise from 10 per cent to 50 per cent on August 1, following a diplomatic spat earlier in the week with his Brazilian counterpart, who had described him as an unwelcome "emperor." Brazil's President Luiz Inácio Lula da Silva responded on Wednesday, stating that any new tariffs would be met with reciprocal measures. The White House launched a Section 232 investigation into copper imports in February, citing legislation that allows the president to impose higher tariffs on national security grounds. Trump said on Wednesday that he had received a "robust" national security assessment which concluded that tariffs were necessary to protect domestic production of a material critical to a wide range of industries. 'Copper is essential for semiconductors, aircraft, ships, ammunition, data centres, lithium-ion batteries, radar systems, missile defence systems and even hypersonic weapons, of which we are building many,' Trump stated in a post on his platform, Truth Social. The US relies on imports for nearly half of its refined copper supply and imported 810,000 metric tonnes in 2024, according to the US Geological Survey. Countries likely to be most affected by the new tariff include Chile, Canada and Mexico - the top suppliers of refined copper, copper alloys and related products to the US in 2024, according to US Census Bureau data. Chile, Canada and Peru have informed the US administration that their exports pose no threat to American interests and should be exempt from the tariffs. All three nations have free trade agreements with the US. The steep tariff is intended to encourage greater domestic production. More than two-thirds of US copper is mined in Arizona, where the development of a major new mine proposed by Rio Tinto Group and BHP Group Limited has been stalled for over a decade.
