Copper Markets Erupt As Trump Declares Crushing 50% Import Tariff

While metal markets often shift on subtle economic cues, copper has thrown subtlety out the window. The red metal smashed records in March 2025, with COMEX futures hitting an eye-watering $5.3740 per pound. That’s not just high—it’s stratospheric. Previous records? Demolished. The May 2024 high of $5.1985 looks almost quaint now.

The first quarter was a wild ride. Starting at a modest $3.99 per pound in January, prices rocketed to $5.22 by March 26. Then came the crash. By April 7, copper was back down to $4.26. A 25% plunge in days. Traders made fortunes. Others lost shirts.

Supply issues are the usual suspect. First Quantum Minerals shut down Cobre Panamá, one of the world’s biggest copper mines. Anglo American slashed production forecasts. The math isn’t complicated—analysts expect a 500,000-ton deficit this year. Trading volumes reached unprecedented levels with dollar trading volumes hitting $100 billion in a single day. No wonder prices went nuts.

The copper math is brutal: major mines offline, production slashed, half-million ton deficit. Prices had nowhere to go but up.

Chile sits pretty on 21% of global copper reserves. They’re not complaining about these prices. Neither is Peru. Both countries are watching investment dollars flood in faster than copper flows out.

Demand isn’t letting up either. Electric vehicles, wind turbines, power grids—they all gobble copper like kids with Halloween candy. China and the US are both building like crazy. Green tech isn’t exactly copper-optional. Over 60 countries have committed to tripling renewable energy capacity by 2030, further intensifying the demand outlook. Proposed tariffs could force large-scale solar power systems to rise in cost by as much as 25%, creating additional market pressure.

Wall Street can’t agree on what happens next. Goldman Sachs predicts $10,160 per tonne average for 2025. Morgan Stanley says $9,500. CitiGroup recently backpedaled from $10,250 to $8,750. Some pessimists think we’ll see $8,000 by 2026.

The price volatility has turned copper trading into an extreme sport. Regional discrepancies are widening too—COMEX futures and LME forwards tell different stories. One thing’s certain though. Copper isn’t boring anymore. The metal market just got interesting. Really interesting.