The copper price for the LME’s three-month contract reached a record $14,533 per metric ton on Monday, Sept. 7. US tariff uncertainty and weaker mine production intensified competition for non-US metal.
Futures later traded 0.9% higher at $14,510, surpassing the previous record set in January. Copper had gained 16% in 2026 and nearly 47% over 12 months.
Why Did the Copper Price Reach a Record?
The rally has not been just in reaction to increased industrial consumption. The fear of potential tariffs on imported refined materials put a premium on New York COMEX copper. The reaction of traders was the shipment of LME copper to the United States.
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July saw copper imports into the US surpass 220,000 tons. Congo shipped a record of 53,290 tons, which is 23.9% of the total imports. The annual 2024 import volume from Congo will be below 32,000 tons.
CME warehouses had 58% of global visible exchange stocks by the end of July. LME availability decreased due to the inflow of metal to America. The nearby London contracts started trading above the deferred ones, forming the backwardated structure.
Therefore, the price is influenced by the geographical location of inventories, and not just by the global supply. Cristián Cifuentes, Cesco analyst, called it the local shortage, but not the global surplus of demand.
What Is Happening to Global Mine Supply?
According to preliminary International Copper Study Group data, the total mine production was down 1.1% year-on-year in the first six months of 2026. Total concentrate output, the major source of raw material for the smelting process, decreased by 2.6%.
Output cuts in Chile, Indonesia, and Congo exceeded gains in Peru and Mongolia, according to the WSJ.
The reduced mine output helped keep the copper price up while the refined sector remained in oversupply. Refined copper production rose by 2.4% in the first half. There was an excess supply of around 131,000 tons relative to demand compared to a surplus of 114,000 tons last year.
August marked the lowest level of copper export earnings for Chile in more than a year. The lack of a second-half rally could see the total global mined supply fall on an annual basis for the first time since 2017
How Are US Tariffs Reshaping Copper Trade?
Duties on covered copper items and derivatives are already levied in Washington. Traders are looking for more clarity on whether President Donald Trump is going to impose them on refined copper imports.
As per a Reuters report, a recommendation by the Commerce Department, which was due before summer, did not lead to any public announcement.
This has kept the COMEX premium alive and supported stockpiling in the US, but copper prices have continued to be vulnerable to any announcement. ING has pointed out that an exclusion from refined copper may reduce the tariff premium.
Is the Copper Price Rally Relevant to Crypto?
The Bull Theory stressed the LME copper history in a post on X with regard to tariffs and supply pressures. Copper was further highlighted as being utilized in smartphones, electric cars, and electrical circuits.
Bitcoin miners require large power connections, but copper is also used throughout the electrical cables and transformers.
Cryptocurrency mining is one of the factors contributing to the increased need for power, according to the United States Energy Information Administration. The International Energy Agency recognizes copper as one of the key metals in grids.
Copper pricing in the near future will be affected by US tariff certainty, mine productivity, and exchange stock dispersion. High prices, financing expenses, and manufacturing weakness might hold back demand. Continued demand from grids, data centers, and electrification might keep supply worries in focus.
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