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President Donald Trump said Tuesday he will impose a 50% tariff on copper imports, a sweeping escalation in his administration’s aggressive trade strategy. Trump also previewed a 200% tariff on pharmaceutical imports, signaling more high-stakes economic maneuvering ahead.
“Today, we’re doing copper,” Trump said during a Cabinet meeting. “I believe the tariff on copper, we’re going to make it 50%.”
The president did not clarify when the tariff would go into effect. However, Commerce Secretary Howard Lutnick later confirmed on CNBC that the administration had completed its national security probe into copper imports and that a formal proclamation was likely before the end of July.
Copper Prices Hit Record High
The announcement sent copper prices surging, with September futures on the New York Mercantile Exchange jumping 10.5% to a record $5.8955 per pound. Shares of major U.S. copper producers, including Freeport-McMoRan, spiked on investor optimism about reduced foreign competition.
The United States imports nearly half the copper it consumes, mostly from Chile, according to the U.S. Geological Survey. Copper is essential in construction, electronics, energy, and electric vehicles, making the commodity a strategic asset.
“The idea is to bring copper home, bring copper production home,” Lutnick said. “This brings copper in line with the steel and aluminum tariffs.”
Trump doubled tariffs on steel and aluminum imports earlier this month to 50%, framing the decision as part of his “America First” industrial strategy.
Pharmaceutical Tariffs Coming
Trump also announced that his administration is preparing to levy tariffs of “200% or more” on imported pharmaceuticals. He offered a grace period of up to 18 months for drugmakers to onshore their manufacturing operations before the new duties take effect.
“We want those medicines made in the USA,” Trump said. He has frequently criticized the pharmaceutical industry’s reliance on overseas manufacturing, especially in China and India.
Details on how the pharmaceutical tariffs would be implemented were scarce, but analysts say such a move could significantly disrupt global drug supply chains and increase domestic prices in the short term.
Tariff Avalanche Continues
Tuesday’s announcements build on a series of aggressive trade actions Trump has rolled out since returning to the White House in January. In early April, he imposed a baseline 10% “reciprocal tariff” on nearly all imports, with higher rates on specific nations.
On Monday, Trump sent formal letters to 14 countries, including Japan, South Korea, and Thailand, announcing new blanket tariffs ranging from 25% to 40%, effective August 1.
Despite volatility in markets, Trump’s aides argue these moves are necessary to rebuild American industry and reduce reliance on foreign nations, especially in sectors like energy, minerals, and healthcare.
But critics warn that the tariffs could fuel inflation, strain diplomatic relations, and provoke retaliation from key trade partners.
“This kind of unpredictable, sector-by-sector tariff regime creates uncertainty that’s bad for business and bad for American consumers,” said Laura Baughman, an economist with the Trade Partnership think tank.
Still, Trump appears undeterred.
“More are coming,” he told reporters Tuesday. “You’ll see them. They’ll be big.”
