Top copper producer Chile demands US tariff clarity

[Ben Graham]

Chilean President Gabriel Boric said Wednesday his government is still waiting for formal communication from Washington on proposed US tariffs targeting copper, following President Donald Trump’s announcement that he intends to impose a 50% levy on imports of the metal.

“We are waiting for the official communication from the United States government regarding what the policy will be—whether or not it includes copper cathodes, what the limits are, and whether this will actually be implemented or not,” Boric told reporters, according to local media site Emol.

His comments came after state-owned Codelco, the world’s largest copper producer, said it was in a “wait-and-see” mode, as details remain vague.

Chairman Máximo Pacheco said the firm first wanted to know which copper products would be included and if the tariff would hit all countries.

“What we need to do is understand what this is about. What products are affected? Because he referred to copper in general terms. But copper includes a variety of products,” Pacheco told Reuters on Tuesday. 

“Then, we have to see whether this will apply to all countries or only some. We’ve always known that exceptions are made, and therefore, I think it’s premature to comment,” he noted.

Graphic courtesy of Benchmark Mineral Intelligence.

Chile is the largest copper supplier to the US, a market that makes up less than 7% accounts for less than 7% of the South American nation’s refined copper exports. In 2024, Chile exported roughly $5.72 billion worth of copper to the American market, with China remaining its dominant customer.

Mexico, the US fifth largest supplier of refined copper, noted it may redirect its shipments to avoid tariffs from the Trump administration.

“Copper is needed in many places around the world, so there are some options there,” President Claudia Sheinbaum said in her daily press conference in Mexico City.

Rush to export

Despite the uncertainty, the copper industry has tried to move quickly. Benchmark Mineral Intelligence warned that producers are unlikely to ship copper to the US fast enough to avoid tariffs, as journeys from Chile typically take over 20 days. European miners are facing the same logistical hurdle.

In anticipation, US importers front-loaded copper shipments in recent months. In the first four months of 2025, they imported 461,000 tonnes of copper, or 232,000 and 148,000 tonnes more than the same periods in 2024 and 2023, respectively.