Part 4/9:
Global Supply Chains and Country-Specific Risks
The proposed tariffs threaten to disrupt global copper supply chains, with Chile prominently in focus given its status as the world's largest copper exporter. Chile's copper exports to the U.S. could be redirected to other markets, but whether this realignment will significantly impact market prices remains uncertain.
Despite Chile's dominance, the U.S. accounts for only about 6% of global copper demand, while domestic production supplies roughly 55% to 65% of its needs. This limited market share impairs the U.S.'s ability to influence global prices substantially. Instead, the behavior of China and the trajectory of international trade tensions are likely to play more critical roles in shaping copper prices moving forward.