Copper pulls back from record on easing US tariff concerns, stronger dollar

BEIJING: Copper prices pulled back on Thursday from record highs, weighed down by easing concerns over a potential imposition of US tariffs on critical minerals and a stronger dollar.

The most-traded copper contract on the Shanghai Futures Exchange fell 1.08% to 103,050 yuan ($14,788.82) per metric ton by 0244 GMT.

The contract had hit a record 105,650 yuan the day before. Benchmark three-month copper on the London Metal Exchange slipped 0.45% to $13,129.5 per ton, after hitting an all-time high of $13,407 on Wednesday.

US President Donald Trump said on Wednesday he had opted for now against imposing tariffs on rare earths, lithium and other critical minerals. Copper has been added to the US critical minerals list.

Persistent flow of copper to the United States amid higher local premium ahead of potential tariffs has tightened supply elsewhere, underpinning prices.

Moreover, a stronger dollar, which makes commodities priced in the greenback more expensive for buyers using other currencies, also weighed on appetite for the metal, which is used in the power grid, construction and manufacturing sectors. Shanghai tin rallied for a fifth straight session to hit a record high at 443,380 yuan despite signs of higher supply.

The Indonesia Tin Exporters Association estimated that the country’s tin mining production quota would be set at around 60,000 tons for 2026, compared with 53,000 tons in 2025.

Similarly, Shanghai nickel hit its highest in more than seven months at 151,750 yuan on concerns over supply from Indonesia.

Major producer Indonesia may approve a nickel ore production quota of around 260 tons this year, lower than the demand of around 340 million to 350 million tons, local media reported.

For other SHFE metals, lead added 1.26%, zinc climbed 3.52%, while aluminium shed 1.37%.

Among other LME metals, aluminium dipped 0.28%, nickel slid 0.42%, while lead added 0.43%, tin advanced 1.64% and zinc rose 1.88%.