Copper price hits record high as market eyes $12,000 milestone amid tariff buzz

With supply constraints tightening and geopolitical developments accelerating policy shifts, copper is firmly in the spotlight—positioning itself as one of 2025’s top-performing commodities.

Copper prices soared to an all-time high on Wednesday as growing expectations of a U.S. tariff on the industrial metal fueled a surge in futures trading, pushing analysts and traders to revise their bullish forecasts.

The most actively traded copper contract on the COMEX jumped to a record $5.3740 per pound, significantly up from Tuesday’s settlement price of $5.2105. This latest rally widened the premium between U.S. and London copper prices, with the new COMEX high equivalent to roughly $11,840 per tonne—about $1,700 more than prices on the London Metal Exchange.

The market momentum comes on the heels of predictions made at the Financial Times Commodities Summit in Switzerland, where leading industry figures projected copper prices could break the $12,000 per tonne threshold in 2025 amid tightening global supply and robust demand forecasts.

“Copper is already in a state of tightness,” said Kostas Bintas, Global Head of Metals and Minerals at Mercuria. He cited the dramatic increase in U.S. copper imports, noting that between 400,000 to 500,000 tonnes of the metal are currently en route to the U.S. as traders prepare for new tariffs.

While analysts from institutions like Goldman Sachs had previously anticipated a 25% tariff on copper to take effect between September and November, Bloomberg reported on Wednesday that the implementation could be fast-tracked, further stoking market speculation.

The prospect of heightened industrial demand is also fueling copper's bull run. Both the U.S. and European Union are investing heavily in modernizing their aging power grids, a transition that requires substantial copper input. “This is not just a short-term spike,” said Aline Carnizelo, Managing Partner at Frontier Commodities. “We’re looking at long-term structural demand that supports prices well above $11,000.”

Graeme Train, Head of Metals and Minerals Analysis at Trafigura, echoed the optimistic outlook but also urged caution. “Copper demand remains strong, but the broader global economy is still a little fragile,” he warned.

With supply constraints tightening and geopolitical developments accelerating policy shifts, copper is firmly in the spotlight—positioning itself as one of 2025’s top-performing commodities.