Mercuria has forecasted that an estimated 500,000 tons of copper are en route to the U.S., a stark difference from the typical monthly imports of about 70,000 tons. This surge in copper shipments is in response to the potential implementation of tariffs, as reported by Bloomberg on Monday.

The substantial increase in copper entering the U.S. market has the potential to drive copper prices to unprecedented levels. This influx may also result in a shortage of copper supplies in top consumer China and globally, according to a report citing Kostas Bintas, the former co-head of metals at Trafigura Group.

In an effort to strengthen U.S. production of copper, a metal crucial to electric vehicles, military equipment, semiconductors, and various consumer goods, President Donald Trump recently initiated an investigation into the imposition of additional tariffs on copper imports.

Goldman Sachs recently predicted a significant surge of 50% to 100% in U.S. net copper imports in the near future due to rising U.S. prices preceding the planned tariffs by the Trump administration.

(Anmol Choubey reporting in Bengaluru; Edited by Louise Heavens)