Copper inventories in London Metal Exchange warehouses in the US have swelled to their highest in 12-1/2 years as metal continues to accumulate in the country ahead of possible import tariffs from the start of next year.
Stocks in US LME warehouses — mostly in New Orleans and Baltimore — now stand at 169,475 metric tons, the most since April 2014. They account for around 62% of all copper inventory on the exchange, the highest percentage since March 2019.
There were 24,225 tons of copper deliveries into New Orleans on Wednesday, LME data showed on Thursday, as well as 2,450 tons of inflows into Baltimore
LME warehouses in the US are bonded facilities where metal can be stored without paying customs duty. Eligible copper brands can be moved to warehouses on the rival COMEX exchange provided customs duty is paid
The US Department of Commerce has proposed an additional 15% import tariff on refined copper imports from 2027, rising to 30% in 2028, but Washington has yet to announce whether the tariffs will go ahead
COMEX copper stocks have climbed for 23 days straight to a record 794,450 short tons, or 720,712 metric tons