Lutnick says ‘its time for copper to come home’ – no exemptions, no exceptions

Trump signed an executive order directing the Commerce Department to examine possible copper tariffs.

US commerce secretary Lutnick says will investigate possible imposition of tariffs to rebuild US copper industry.

• Lutnick: No exemptions, no exceptions; it’s time for copper to come home.
• White House official: Trump will recognize copper sector as a national security issue, commerce department will investigate under section 232.
• Trump trade adviser Navarro: Like it has in steel and aluminum markets, China is using industrial overcapacity and dumping to gain control of the world’s copper market.
• White House official: Investigation will look at raw mined copper, copper concentrates, refined copper, copper alloy, scrap copper, and derivative products.
• White House official: Premature to discuss any levels of tariffs.
• White House official: Trump prefers tariffs over quotas.
• White House official: US can’t develop smelting and refining capacity unless there is reasonable certainty of long-lasting protection for these industries.
• White House official: Forecasts based on demand from electric vehicles and AI point to copper shortages in the future.
• White House official: Administration intends to move quickly on copper investigation but no specific timeline given.
• White House official: Won’t identify specific derivatives, that would prejudge the investigation.

Note that first line:

• will investigate possible imposition of tariffs to rebuild US copper industry

Nothing decided yet. Keeping us on the edge of our seats!

This article was written by Eamonn Sheridan at www.forexlive.com.