**US Industry in Turmoil as Trump’s Copper Tariffs Surge Costs by $4,300 Per Ton Overnight**
In a shocking turn of events, the Trump administration’s newly imposed 50% tariff on semi-processed copper products has sent shockwaves through the U.S. industry, adding a staggering $4,300 to the cost per ton of copper overnight. While copper prices plummeted on the futures market, the actual cost for essential products skyrocketed, creating a paradox that threatens to cripple sectors from construction to defense.
The tariff, which targets everything from electrical cables to defense radars, has sent the New York ComX futures contract tumbling, marking the sharpest decline since the pandemic. But the relief of lower raw copper prices is overshadowed by the soaring costs of processed goods. The average price tag for essential copper products has now surged to an alarming $12,000 per ton when factoring in transportation and insurance.
Immediate repercussions are being felt across multiple industries. The electricity transmission sector faces a projected $2.3 billion budget deficit for renewable energy projects, while the defense industry grapples with an extra $104 million burden for radar battery upgrades. The semiconductor sector, crucial for tech innovation, reports a 5% margin erosion due to increased costs, threatening the goal of domestic chip production.
As the construction industry braces for a 21,000-unit slowdown in housing starts, the ripple effects of these tariffs are becoming increasingly clear. With copper’s essential role in everything from renewable energy to defense systems, the stakes couldn’t be higher. The environmental lobby is already preparing lawsuits, arguing that these tariffs jeopardize the nation’s green energy transition.
As pressure mounts on Washington from various industry lobbies, the long-term implications of this tariff could lead to a significant slowdown in U.S. economic growth. With Congress facing an election year, the White House may find itself compelled to reconsider these drastic measures. For now, U.S. industry stands at a critical crossroads, grappling with the fallout of a decision that could redefine its future.