COMEX-LME Copper Spread Once Hits $621.81; Tariff Expectations Drive Copper Resources to U.S.

On August 5, the COMEX-LME copper spread once reached $621.81/tonne, with market expectations of tariffs on U.S. refined copper intensifying.

Core Facts

On August 5, the COMEX-LME copper spread once reached US$621.81 per tonne. Market expectations of U.S. tariffs on refined copper continued to intensify, opening a cross-exchange arbitrage window and driving global copper resources to flow into the U.S. market. On August 6, the divergence between COMEX and LME copper prices and inventories continued to widen.

Policy and Trade

Given considerable uncertainty over whether tariffs will be imposed, their magnitude, and implementation timeline, the cross-border flow of copper is continuing. Industry sources interviewed said the supply-demand pattern of tight copper concentrate supply has not changed; fundamentals combined with macroeconomic factors will continue to provide strong support for copper prices.