Summary
- It was reported that after the U.S. government removed the 50% tariff on refined copper, copper prices plunged.
- It was stated that the possibility of tariffs being reimposed could increase copper price volatility.
- The U.S. government is reportedly considering imposing a 15% copper tariff starting in 2027 and 30% after 2028.
September futures price $4.39 per pound
International copper prices have been moving sideways at the steeply dropped level from a week ago. This is due to the U.S. government's removal of the 50% tariff on refined copper, but as the possibility of reimposing tariffs emerges, there are expectations that volatility will increase.
According to the New York Mercantile Exchange (COMEX) on the 6th, the previous day, the September copper futures price was $4.39 per pound, down 1.16% from the previous trading day. After the U.S. announced on the 31st of last month that it would not impose tariffs on unrefined copper and other related products, copper prices plunged 22.05% in just one day. This wiped out all the gains that had driven prices up to $5.82 on the 23rd of last month amid copper hoarding expectations.
The U.S. government has stated it will review whether to reimpose tariffs on refined copper. This is seen as a potential cause for higher copper price volatility. Currently, the U.S. government is considering imposing a universal tariff on copper, at 15% from 2027 and 30% from 2028 onwards.
Yoon-sang Ko, kys@hankyung.com
Korea Economic Daily
hankyung@bloomingbit.ioThe Korea Economic Daily Global is a digital media where latest news on Korean companies, industries, and financial markets.
