en.Wedoany.com Reported - Copper prices closed this week at $6.17 per pound, up 2.82% from last Friday. The average annual price stands at $5.92 per pound, an increase of 39.7% compared to the same period in 2025. The Chilean Copper Commission (Cochilco) noted that the copper market alternated between corrections and rebounds this week, primarily influenced by three factors: expectations of US tariffs on refined copper, declining available inventories at the London Metal Exchange (LME), and the evolving US-Iran conflict.
Data from China also had an impact, showing strong export and import performance but weakening momentum in refined copper purchases. Near the close, a potential agreement in the Middle East alleviated some oil and inflationary pressures, supporting a copper price recovery. Trade factors remain decisive. Weeks after the US Department of Commerce proposed possible tariffs on refined copper, the market still has incentives to ship the metal to the country. This supports the premium of the New York Mercantile Exchange (COMEX) over the London Metal Exchange (LME) and reduces relative availability outside the US. Supply-side factors also provided support.
Available inventories at the London Metal Exchange (LME) continue to decline, while COMEX inventories keep rising, highlighted the Chilean Copper Commission (Cochilco) in its regular weekend copper market analysis. Additionally, concentrate supply remains constrained, with slow recovery in related operations and signals of declining production in Chile. Meanwhile, the market is once again focusing on sulfuric acid and sulfur, key inputs for hydrometallurgical production, which are affected by logistical tensions in the Middle East. On the demand side, China sent mixed signals. Exports grew strongly, and imports exceeded expectations, supported by technology products, semiconductors, and Artificial Intelligence-related goods. However, cumulative imports of unwrought copper remain below 2025 levels, while the Yangshan copper premium, which measures China's import interest, fell to multi-week lows. This indicates that physical demand in China still exists but has weakened in momentum.
Visible inventories increased by 10,799 tons (+0.9%) over the week, totaling 1,141,809 tons. The growth was mainly driven by Shanghai (+18,735 tons) and COMEX (+4,739 tons), while London Metal Exchange (LME) inventories decreased by 12,675 tons. Although global inventories remain high, up 168.7% from the same period in 2025, the more significant signal lies in the regional composition. Inventory accumulation in the US reflects pre-positioning ahead of potential tariff decisions, while the increase in Shanghai points to improved local availability. In contrast, the decline in London inventories reduces available metal in the main international reference market, keeping physical markets outside the US tight.
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