Copper glut driven by tariff threat to deflate US price bubble


Going up: Copper pipes are displayed in a home rebuilding store in New York City. US copper demand is predicted to drop 16% to 1.32 million tonnes this year compared with last year. — AFP

LONDON: US President Donald Trump’s 50% tariff on copper has placed a record premium on prices of the metal in the United States that is likely to ease over the coming months as a stockpile created by traders anticipating the levy works through the system.

The tariffs, which commerce secretary Howard Lutnick said would probably be in place by Aug 1 or sooner, follow an investigation launched in February.

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