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The United States announces a 50% tariff on imported copper cables, potentially reshaping the global supply chain landscape

Source: CRU Group (UK Commodity Research Institute)

On July 30, 2025, the US government announced that the previously announced 50% copper tariff would apply to downstream copper products, including copper cables and copper poles. This decision is unexpected by the market and will have a profound impact on global copper cable trade.
Data shows that the United States imports about a quarter of its domestic demand for insulated cables each year, with an import volume of approximately 465000 tons of conductors in 2024. Among these imported products, low-voltage cables account for about half. For a long time, Mexico has been a major trading partner of the United States for cables, but this trade is greatly affected by the demand for wiring harnesses in the automotive manufacturing industry. It is worth noting that the import share from China has decreased from 21% in 2015 to 12% in 2024, while South Korea and India are seizing market share - South Korea's cable exports to the United States have increased from 19000 tons in 2015 to 77000 tons in 2024, and India has increased from less than 2000 tons to 41000 tons.
CRU analysis suggests that whether domestic manufacturers in the United States can meet the new demand depends on the utilization rate of existing capacity and production flexibility. Low voltage cable production capacity is relatively easy to expand, usually taking 1-2 years. At present, there are significant investment layouts, such as LS Cable's new submarine cable factory in Virginia, which is expected to start production in the third quarter of 2027, and Encore Wire's expansion of medium voltage cable production. In addition, IMC is building a new copper rod production line with an annual capacity of 250000 tons, accounting for approximately 15% of the total demand in the United States.

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