Trump Slaps 50% Tariff on Copper Products, Excludes Ores, Refined Copper

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Researched by Industrial Info Resources (Sugar Land, Texas)--President Donald Trump has ordered a 50% import tariff on several copper products, effective Friday, saying that unfair trade practices abroad, aided by "overly burdensome" local environmental regulations, have undermined domestic copper production.

The tariffs apply to imports of semi-finished copper products, such as copper pipes, wires, rods, sheets and tubes, and copper-intensive derivative products, such as pipe fittings, cables, connectors and electrical components.

Industrial Info is tracking 71 capital copper ore mining projects in the U.S., worth $42 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can click here for the project reports.

Click on the image at right for a graph detailing the top 10 copper ore-mining project owners in the U.S., by investment.

Globally, Industrial Info is tracking 1,414 copper ore mining projects, worth $304.45 billion. Subscribers can click here for a list of detailed project reports.

Click on the image at right for a graph of copper ore mining investments by world region.

However, the tariffs do not apply to "copper input materials," such as copper ores, concentrates, mattes, cathodes and anodes. Those exclusions caused U.S. copper prices to drop nearly 20% on Wednesday, after importers had brought in large amounts of copper to U.S. warehouses in anticipation of tariffs. The copper tariffs also do not apply to items already subject to auto tariffs.

In addition, Trump's executive order calls for Secretary of Commerce Howard Lutnick to require 25% of high-quality copper scrap produced in the U.S. to be sold domestically.

The Department of Commerce also has recommended an export-licensing requirement for high-quality copper scrap to ensure adequate domestic supply.

The executive order also authorizes the Department of Commerce to require 25% of U.S.-produced copper input materials to be sold in the U.S.--starting at 25% in 2027, increasing to 30% in 2028 and 40% in 2029.

The actions are meant to improve domestic access to copper scrap and boost U.S. copper-refining capacity by ensuring low-cost inputs while domestic refiners increase their operations, according to the executive order.

Trump ordered the tariffs following an investigation by the Department of Commerce into national security threats posed by copper imports. Copper is used in a range of defense systems, including aircraft, ground vehicles, ships, submarines, missiles and ammunition. It is the Department of Defense's second-most used material, and it plays a central role in the broader U.S. industrial base, the investigation found.

The U.S. was a world leader in copper production for most of the 20th century, but domestic production has since plummeted, the investigation found. "Today, a single foreign country dominates global copper smelting and refining, controlling over 50% of global smelting capacity and holding four of the top five largest refining facilities," according to a White House proclamation.

The investigation "found that unfair trade practices abroad, exacerbated by overly burdensome environmental regulations at home, have hollowed out United States copper refining and smelting, caused the United States to be overly reliant on foreign copper imports, and prevent a path forward without strong corrective action," according to the proclamation.

Copper is the third-most-used metal in the United States, behind iron and aluminum. Copper imports make up 45% of refined copper consumption, according to news reports. The top sources of U.S. copper imports are Chile (51%), followed by Canada and Mexico, according to the Department of Commerce.

The U.S. Geological Survey reported that the recoverable copper content of U.S. mine production was an estimated 1.1 million tons in 2024, a decrease of 3% from that in 2023, and was valued at an estimated $10 billion, slightly greater than $9.83 billion in 2023. Arizona was the leading copper-producing state and accounted for approximately 70% of domestic output; copper was also mined in Michigan, Missouri, Montana, Nevada, New Mexico and Utah.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 Trillion (USD).