Copper prices climb 1.4% to hit $9,662.50, as weaker dollar forces commodity prices down for global buyers

Copper prices rose on Wednesday as a weaker U.S. dollar made commodities cheaper for global buyers, though concerns over tariffs and economic growth capped gains.

The red metal climbed 1.4 percent to settle at US$9,662.50 per tonne, while aluminum edged up 0.3 percent.

Financial markets remained jittery as President Donald Trump’s tariff policies and spending cuts disrupted long-standing geopolitical and economic relationships.

A 25 percent tariff on all U.S. aluminum and steel imports took effect Wednesday.

On Tuesday, Trump initially announced plans to double tariffs on Canadian shipments before quickly reconsidering.

Goldman Sachs analysts, including Eoin Dinsmore, predict the U.S. may impose a 25 percent tariff on copper imports by the end of the year, following a Section 232 investigation into national security concerns.

“We forecast higher U.S. copper prices before the actual tariff imposition, leading to a 50–100 percent surge in net imports in the coming months and a 200,000–300,000-ton increase in U.S. copper inventories by the end of Q3 2025,” the analysts noted in a report dated March 11, 2025.

In China, copper cathode inventories in Shanghai and Guangdong continued to decline due to lower imports, according to Shanghai Metals Markets.

However, major domestic copper rod producers reduced production rates last week—despite peak seasonal demand—amid high prices that discouraged new orders.

Meanwhile, American manufacturers are already paying significantly higher prices for aluminum, steel, and copper compared to international competitors.

This trend had dampened business confidence and stoked inflation concerns even before tariffs take full effect.

Adding to signs of weak demand in China—the world’s largest metals consumer—local smelters are exporting copper to take advantage of higher global prices.

WARNING! All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express permission from ZAMBIA MONITOR.