Copper hits record high as orders to withdraw metal from London Metal Exchange warehouses spike, sparking concerns about potential US tariffs causing global supply squeeze. Futures climbed above $11,400 a ton, with Antofagasta Plc surging over 5%. Global copper inventories could reach critically low levels as metal is shipped to US ahead of tariffs.

LME’s global benchmark price up over 30% this year, with US futures rallying further on expectations of Trump announcing levies on primary forms of copper. Trump initially announced tariffs in February, causing market turmoil. Producers now charging record premiums to supply Europe and Asia as traders increase shipments to US.

Mercuria Energy Group Ltd. warns of major global supply squeeze by Q1 2025, predicting copper prices to soar higher. Mine outages in Chile and Indonesia tighten supplies. Ivanhoe Mines Ltd. and Glencore Plc cut production outlooks, propelling copper prices despite tepid demand. Chinese supply talks for 2026 face challenges as miners hold upper hand in negotiations.

Copper prices surge to $11,400 a ton on LME, up about 30% for the year. Aluminum also gains, while zinc remains stable. Supply concerns and mine outages drive prices higher, with Chinese supply negotiations for 2026 proving difficult. Market trends validate higher prices, reinforcing price surge.

Read more at Yahoo Finance: Copper Hits Fresh Record on Rising Risk of Tariff-Fueled Squeeze