Copper prices are at historic highs. The rise in copper prices is usually an unofficial measure of global economic growth, but right now, the economic signals given by “Dr. Copper” are being blurred by US tariffs and other supply issues. The raw metal refined copper traded on the exchange is currently temporarily exempt from tariffs, but it is unclear how long this exemption will last. The Trump administration said last year that it is considering imposing a 15% tariff on copper starting next year and further increasing the tax rate in the future. This news prompted all parties to scramble to import refined copper to the US in time for potential tariffs to be implemented. As US domestic inventories continue to accumulate, global competition for copper resources outside of the world tends to be intense, which in turn pushes up copper prices. The expansion of the artificial intelligence industry is also driving demand for copper. Copper is the core raw material for artificial intelligence data centers and power grids, and data center construction is currently booming. Furthermore, global copper production has declined. According to Kitco reports, due to the strong storm, Chile, the world's largest copper producer, saw a 9.4% year-on-year decline in copper production in July.

Copper prices are at historic highs. The rise in copper prices is usually an unofficial measure of global economic growth, but right now, the economic signals given by “Dr. Copper” are being blurred by US tariffs and other supply issues. The raw metal refined copper traded on the exchange is currently temporarily exempt from tariffs, but it is unclear how long this exemption will last. The Trump administration said last year that it is considering imposing a 15% tariff on copper starting next year and further increasing the tax rate in the future. This news prompted all parties to scramble to import refined copper to the US in time for potential tariffs to be implemented. As US domestic inventories continue to accumulate, global competition for copper resources outside of the world tends to be intense, which in turn pushes up copper prices. The expansion of the artificial intelligence industry is also driving demand for copper. Copper is the core raw material for artificial intelligence data centers and power grids, and data center construction is currently booming. Furthermore, global copper production has declined. According to Kitco reports, due to the strong storm, Chile, the world's largest copper producer, saw a 9.4% year-on-year decline in copper production in July.