Is Copper's All-Time High Built on Tariffs or Geology? Washington Holds the Answer

Copper reached an all-time high of $14,617 a ton on the London Metal Exchange today. The rally extended into a fourth session as traders positioned for US tariffs on refined metal.

The advance marked a second consecutive record. Copper has gained around 17% this year, supported by tight near-term supply and steady industrial demand.

Washington Silence Keeps a Premium on the Price

A proclamation signed last August placed a 50% tariff on semi-finished copper products. Refined metal escaped, and the Commerce Department was told to revisit the question.

Its report was due June 30. Roughly two months past that date, the White House still has nothing on paper. Traders keep pricing the levy anyway.

Merchants shipped hundreds of thousands of tons to the US this year to capture higher prices there. Near-term availability outside the US has tightened as a direct result.

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Morgan Stanley now sees the possibility of the first annual decline in global copper mine supply since 2017.Meanwhile, copper is trading near record highs.The world is hunting for supply.We need more mines.

— Gold Telegraph ⚡ (@GoldTelegraph) September 6, 2026

Supply explains the other half. The world’s biggest mines are ageing, and output is not keeping pace with data centers, renewable power, and grid upgrades. 

Market analyst Jim Bianco noted that copper has advanced more than 68% since April 2025. That run predates the current speculation about tariffs.

The metal recently broke its previous record, set in January. It then cleared $14,600 a ton for the first time. Previously, August saw a record on Comex, with copper pushing past $6.71 a pound.

Gold Retreats as Copper Runs

Copper’s climb arrives while bullion sees a mixed performance. Gold trades near $4,405 an ounce, roughly 21.8% below the record $5,589.38 it set on January 28. 

Some traders read the divergence as a rotation out of defensive positions and into industrial exposure. Analyst Qmo pointed to the copper-gold ratio, which he said broke its downtrend for the first time this year.

The signal is not clean, however. Gold rose about 10% in August, its strongest month since January, and remains up roughly 25% over 12 months.

That leaves the tariff decision as the near-term variable. Its arrival would test whether copper’s record rests on policy expectations or on the supply gap underneath them.

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