Copper Futures Surge Amid U.S. Trade Policy Changes

On Wednesday, February 26, 2025, copper futures experienced a notable upturn following President Donald Trump’s directive to the U.S. Department of Commerce to explore potential tariff measures on various mineral imports.

This initiative represents the latest in a series of actions aimed at enforcing sector-specific tariffs designed to safeguard American manufacturers and restructure global supply chains. In recent months, the copper market has faced significant volatility as traders speculate that these tariffs could create price disparities between the U.S. market and international counterparts.

Copper futures on the COMEX in New York saw a significant increase of 4.1%, marking the largest daily gain since early November. Shares of U.S.-listed copper mining companies surged in response to this announcement, with Freeport-McMoRan seeing a rise of more than 6% in after-hours trading compared to Tuesday’s closing figures.

The U.S. administration has previously announced plans to implement a 25% tariff on all steel and aluminum imports starting March 12, continuing the enforcement of Section 232 measures initiated during Trump’s first term. With respect to copper, the Commerce Department has up to 270 days to conduct an investigation into import levels and provide a report to the President.

This latest development underscores the ongoing dynamics of trade policy and its direct impact on commodity markets, particularly in the metals sector.

The evolving landscape of U.S. trade policy continues to shape the copper market, influencing price movements and the strategic decisions of industry stakeholders.