Copper price surges to highest since March record

[Redator]

US prices jump more than 3%, opening up massive $1,600 per tonne gap between US and LME copper prices with Goldman Sachs predicting more gains to come. 

Copper for delivery in September rose more than 3% to a high of $5.1650 per pound or $11,367 per tonne in overnight trading on the Comex market on Thursday as US markets pull in buyers ahead of likely tariffs. 

In February, the White House directed the US Commerce Department to investigate the need for import tariffs on the bellwether metal, with a report due within 270 days. That triggered a surge in US-bound shipments.

Pre-emptive buying in the US opened up a massive gap between US and London Metal Exchange prices. Copper rose a more modest 0.6% to $9,767 per tonne on the LME in early trading in London on Thursday.

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In a note quoted by Bloomberg, investment bank Goldman Sachs said it expected LME prices to rise to a 2025 peak of roughly $10,050 a tonne in August, as supplies outside the US continue to tighten.

“The ex-US copper market has tightened, causing fears of a regional copper shortage despite the global market currently being in surplus,” Goldman said, adding that once the expected 25% import levies are implemented in September, copper prices should retreat to under $10,000 again.

Ready to ship inventories on the LME have declined about 80% this year to less than a day of global usage, prompting steep backwardation and a surge in exports by Chinese smelters. 

The premium for the cash copper contract over the three-month forward dropped to $94 a tonne on Wednesday from $280 on Monday as news of the exports filtered through to the market.

Like other markets, the copper price has been on a wild ride in 2025, hitting all-time highs at the end of March only to come dangerously close to crashing through $4.00 barely a fortnight later. Year to date the orange metal remains up just over 25%. 

Copper price: Chinese smelters ramp up exports, potentially squeezing home market too