U.S tariffs hit copper and smartphone markets
The post U.S tariffs hit copper and smartphone markets appeared on BitcoinEthereumNews.com. On New York’s Comex, copper prices fell sharply after Chile’s finance minister said he’d ask Washington to exempt his country from the new levy. At the same time, U.S. phone shipments in Q2 rose by just 1%. At its weakest, Comex copper dropped as much as 6.2% to $5.4265 per pound before recovering some losses. Bloomberg reported that Chile, which supplies roughly half of America’s imported copper, saw the market sell off after Mario Marcel told Radio Duna he’d press for an exemption when trade discussions resume in Washington. The downturn follows President Trump’s unexpected declaration of a 50% tariff on copper imports, taking effect on August 1. The high tariff surprised analysts, and since it’s unclear which copper forms will be taxed, companies don’t know how to prepare. Marcel told Radio Duna that past agreements exempted raw materials like UK steel and that he’ll seek the same waiver for copper when talks begin. He also ruled out retaliatory tariffs, saying they would only drive up prices for Chilean consumers. U.S. manufacturers face higher costs Officials in Santiago emphasize that U.S. industries, heavily dependent on foreign copper, would have no alternative but to absorb the extra expense if exemptions are denied. Marcel said, “It wouldn’t be much use to have a trade agreement that excludes copper and timber, which make up more than half our exports to the U.S.” After launching a national security probe in February, the administration signaled possible copper tariffs. That pushed U.S. prices above global rates and tempted traders to accelerate shipments to U.S. ports and lock in gains before any duties are applied. As August 1 drew near, ships rushed to U.S. ports and triggered a buying spree. By Monday, Comex copper still commanded roughly a 27% lead over LME levels. That day in New York, prices…
The post U.S tariffs hit copper and smartphone markets appeared on BitcoinEthereumNews.com.
On New York’s Comex, copper prices fell sharply after Chile’s finance minister said he’d ask Washington to exempt his country from the new levy. At the same time, U.S. phone shipments in Q2 rose by just 1%. At its weakest, Comex copper dropped as much as 6.2% to $5.4265 per pound before recovering some losses. Bloomberg reported that Chile, which supplies roughly half of America’s imported copper, saw the market sell off after Mario Marcel told Radio Duna he’d press for an exemption when trade discussions resume in Washington. The downturn follows President Trump’s unexpected declaration of a 50% tariff on copper imports, taking effect on August 1. The high tariff surprised analysts, and since it’s unclear which copper forms will be taxed, companies don’t know how to prepare. Marcel told Radio Duna that past agreements exempted raw materials like UK steel and that he’ll seek the same waiver for copper when talks begin. He also ruled out retaliatory tariffs, saying they would only drive up prices for Chilean consumers. U.S. manufacturers face higher costs Officials in Santiago emphasize that U.S. industries, heavily dependent on foreign copper, would have no alternative but to absorb the extra expense if exemptions are denied. Marcel said, “It wouldn’t be much use to have a trade agreement that excludes copper and timber, which make up more than half our exports to the U.S.” After launching a national security probe in February, the administration signaled possible copper tariffs. That pushed U.S. prices above global rates and tempted traders to accelerate shipments to U.S. ports and lock in gains before any duties are applied. As August 1 drew near, ships rushed to U.S. ports and triggered a buying spree. By Monday, Comex copper still commanded roughly a 27% lead over LME levels. That day in New York, prices…
What's Your Reaction?
