Market Performance: Copper Price Surges to Uncharted Territory
The copper price surge gathered serious pace on Tuesday, pushing global prices into record territory. For the first time ever, copper crossed the $13,000 per tonne mark, signaling how tight the supply situation has become.
In London, three-month copper futures jumped up to 2.2%, hitting a fresh all-time high of $13,283 per tonne, beating the previous session’s peak. The rally wasn’t limited to overseas markets.
Back in India, the copper price surge was clearly visible on the Multi Commodity Exchange (MCX), where prices climbed 1.25% to ₹1,330.30 per kg during today’s session.
The message from the market was clear—copper is in demand, and supply risks are growing harder to ignore.
Main News: What’s Driving the Copper Price Surge?
The copper price surge didn’t come out of nowhere. The broader base metals complex has started 2026 on a strong footing.
The LMEX Index, which tracks six key metals including copper, moved to its highest level since March 2022, a time when the metals sector last saw a major peak.
Copper itself has been on a sharp run:
- Up over 20% since late November
- Aluminium also climbed to a three-year high, adding strength to the metals rally
At the heart of this copper price surge lies growing supply uncertainty.
Global markets are reacting to renewed concerns that the US could impose tariffs on refined copper. These fears have already led to increased copper shipments into the United States, which in turn has raised the risk of supply shortages in other regions.
US Policy Moves Add Pressure to Copper Supply
The copper price surge has also been shaped by policy developments in the United States.
- Earlier, the possibility of tariffs triggered a rush to ship copper into the US
- Although refined copper was briefly exempted, momentum picked up again as tariff discussions resurfaced
- US copper imports surged in December, reaching their highest level since July, as per a Bloomberg report
Adding to this, the US Department of Commerce has been asked to submit an updated report on the US copper market by the end of June.
Previously proposed measures included:
- 15% duty from 2027
- Rising to 30% in 2028
While no final decision has been confirmed yet, the market is clearly pricing in the risk—keeping the copper price surge firmly intact.
Supply Disruptions Tighten the Market Further
Beyond policy, real-world supply challenges have played a major role in fueling the copper price surge.
Over the past year:
- Accidents at major copper mines disrupted output
- Expansion plans at some large mining operations slowed
- Smelters faced intense pressure from miners
Treatment and refining charges were pushed down to record-low levels, highlighting just how difficult it has become to secure adequate raw material.
All of this has reinforced one core theme—global copper supply remains tight, and the imbalance between demand and availability is growing.
Summary: Why the Copper Price Surge Matters?
The current copper price surge reflects a powerful mix of factors working together:
- Record-breaking global prices above $13,000 per tonne
- Strong base metal momentum at the start of 2026
- Rising US imports driven by tariff uncertainty
- Supply disruptions at key global mines
- Ongoing pressure within the smelting ecosystem
For now, copper remains firmly in focus, with price action being shaped less by speculation and more by structural supply stress.
As markets digest policy developments and supply realities, the copper price surge stands as one of the clearest signals of tightening conditions in the global commodities landscape.
Source: Livemint
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