Chile’s foreign ministry is monitoring a U.S. investigation into possible tariffs on copper, a crucial metal for many industries. President Trump has initiated a national security probe under Section 232 of the Trade Expansion Act. Chile is the top copper producer, with most exports going to China, and has reported rising production figures.
Chile’s foreign ministry announced its intention to monitor the United States’ investigation into potential new tariffs on copper imports. This initiative is particularly significant as copper is vital for various sectors, including electric vehicles, military technology, and consumer electronics. The ministry’s response follows U.S. President Donald Trump’s directive aimed at counteracting perceived advancements by China in the global copper market.
Chile, the foremost copper producer globally and the primary exporter to the United States, predominantly exports copper to China. Recently, President Trump initiated a national security investigation under Section 232 of the Trade Expansion Act of 1962, a framework previously used to implement 25% tariffs on steel and aluminum. The broader tariffs on metals and motor vehicles are expected to be enforced next month, continuing the trend of new import tax measures since Trump assumed office.
Significant international mining companies such as BHP, Glencore, and Anglo American operate in Chile along with the state-owned Codelco, which has chosen not to comment on the current situation. Notably, Chile’s copper output saw a 4.9% increase last year, reaching a total of 5.5 million metric tons.
In summary, Chile is closely observing the U.S. probe into potential copper tariffs, a key metal for various industries. This comes amid U.S. efforts to counteract Chinese influence in the copper market. The implications of these tariffs could significantly impact the global copper supply chain, particularly given Chile’s leading role in production and exports. Major mining entities continue to operate in Chile, although the situation remains fluid and evolving.
Original Source: money.usnews.com
