Copper tariffs are about to take effect, and U.S. copper inventories have risen to their highest level in 21 years.

Copper inventories in warehouses on the American stock exchange have risen to the highest level in 21 years, as traders rush to ship to the United States before the tariffs take effect on August 1st under Trump. As of Tuesday, the copper inventories in 7 Comex warehouses in the US have surged by 172% this year to reach 253,431 short tons, the highest level since 2004. Meanwhile, inventories in London Metal Exchange warehouses have dropped by about 50% this year. LME contracts are the international benchmark for this metal. Since Trump initiated an investigation into potential copper tariffs based on national security reasons under Section 232 in February, copper prices on the New York Comex have surged above global benchmark levels. This significant price difference provides traders with the opportunity to make huge profits by importing copper to the United States.