Copper hits all-time high from tariff fears and supply woes

Mining companies in the sector have been reaping the benefits

Rowan Dunne

Published

42 seconds ago

Copper has charged into a full-scale bull market with buyers scrambling for every available tonne as demand surpasses what mines can deliver.

Benchmark three-month copper futures on the London Metal Exchange hit an all-time high of US$14,533 a tonne on Sept. 7. That level tops the previous peak set in January and lifts prices 17 per cent year-over-year.

Several forces have driven the surge. Fears of new United States tariffs on refined copper imports have pushed traders to ship large volumes into American warehouses before any duties arrive. As a result, United States stockpiles have climbed to record levels while inventories elsewhere have shrunk sharply.

“It’s hard to know what will happen on tariffs, but the longer there is uncertainty, the longer prices will remain elevated as material flows to the U.S.,” said Benchmark Mineral Intelligence analyst Albert Mackenzie in an interview with Reuters.

At the same time, ageing mines are struggling to boost output. Chile, the top producer, saw shipments fall to their lowest point in more than a year in August. Growing use in AI data centres and clean tech adds additional pressure. Data centres need copper for power systems and cooling while renewable energy projects, power grids and electric vehicles all consume far more of the metal than technology of the past.

Record American imports serve as catalyst

This price rally builds directly on a wave of imports into the U.S. July shipments of refined copper and alloys reached a record 225,094 tonnes, the highest monthly total in decades.

Copper from the Democratic Republic of Congo has played a leading role. The country supplied a record 53,290 tonnes that month, taking a 23.9 per cent share of total American imports. Those Congo volumes alone exceeded what the United States bought from the African nation throughout the whole of 2024.

The influx has concentrated global reserves inside the United States and left supplies tighter outside its borders.

Mining shares climb with the metal

Higher copper prices have lifted many of the largest mining companies. Freeport-McMoRan Inc (NYSE: FCX) (FRA: FPMB) shares have risen 44 per cent so far in 2026. Southern Copper Corp (NYSE: SCCO) (FRA: PCU) and Teck Resources Ltd (TSE: TECK.B) (TSE: TECK.A) (NYSE: TECK) (FRA: TECKB) have also each advanced about 45 per cent over the same period.

Additionally, Hudbay Minerals Inc (TSE: HBM) (NYSE: HBM) (FRA: OCKA) is up more than 110 per cent over the past year and BHP Group Ltd (NYSE: BHP) has seen gains of approximately 50 per cent so far in 2026.

Aside from these market gains, the broader group of copper miners has performed strongly in their financial statements too, with several major producers reporting sharply higher profits thanks to the stronger metal price. These gains show how tightly the fortunes of copper producers are linked to the price of the metal itself.

*COPPER SURGES TO ALL-TIME HIGH ABOVE $14,530 A TON ON LME

"Dr Copper is the metal with a PhD in Economics."

It's now at a new all-time high, and up more than 68% since Liberation Day (April 2025).

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(Think booming economy and inflation.) pic.twitter.com/kHiMF27anC

— Jim Bianco (@biancoresearch) September 8, 2026