Copper prices are climbing fast, with Citigroup now forecasting the metal will reach $10,000 per ton within the next three months. The recent surge comes as President Trump’s probe into copper imports has triggered a shipping rush ahead of potential tariffs. With global supply struggling to keep pace with demand, copper is seeing strong price support.
Tariff uncertainty keeps markets on edge
Despite fears of a U.S. economic slowdown, industrial metals remain strong, largely due to supply shortages and increasing demand. Traders are watching closely as Trump’s proposed copper tariffs remain under review, with a decision expected after the Commerce Department’s investigation. Until the tariff timeline becomes clearer, tight market conditions will likely keep prices elevated.
China’s role in the copper market
China, the world’s top copper producer, is also feeling the pressure. Authorities have increased export licenses, but smelters are struggling with negative processing fees due to high competition for raw copper. This supply-side squeeze is adding to global scarcity, further supporting prices.
What’s next for copper?
Copper is currently trading near $9,797 per ton, extending its 12% gain this year. While Citigroup previously expected a pullback to $8,500 per ton, they now see continued strength until U.S. tariffs are officially implemented. Once that happens, demand could weaken, but for now, copper remains in high demand with limited supply—pushing prices higher.