Copper rose on the London Metal Exchange and Shanghai Futures Exchange on Wednesday, as traders are expected to continue rushing metal shipments to the U.S. ahead of potential import tariffs, further tightening already low inventories elsewhere.

The most-traded copper contract on the SHFE gained 0.62% to 80,520 yuan ($11,238.43) per metric ton, as of 0105 GMT, or the highest price range so far in 2025 around the latter half of March, and the three-month copper on the LME inched up 0.12% to $9,945.5.

“Other than expectations of better demand from China with higher PMI in May and the U.S. with better job market, low copper inventories at the SHFE and LME amid the continuing shipment to the U.S. before the imposition of the import tariffs have been supportive to the price,” a Beijing-based metals analyst from a futures company said.

Copper stocks (MCUSTX-TOTAL) in LME-registered warehouses dropped 66% since the middle of February to 91,250 tons, and copper inventories (CU-STX-SGH) in the warehouses monitored by the SHFE also fell by 66% since early March to 81,550 tons as of last Friday.

Copper inventories in China typically rise in the summer months due to low seasonal demand.

“U.S. Treasury Secretary Scott Bessent said that Washington’s negotiations with Beijing will focus first on reciprocal tariffs, and only later on duties on copper and other raw materials,” ANZ said.

“A delayed decision on tariffs would justify a premium on U.S. copper, giving traders more time to ship metal before levies take effect.”

SHFE aluminium gained 0.61% to 20,685 yuan a ton, tin gained 0.4% to 268,420 yuan, lead inched up 0.2% to 17,170 yuan, nickel grew 0.16% to 120,580 yuan, while zinc fell 0.4% to 22,165 yuan.

LME aluminium gained 0.33% to $2,607 a ton, lead gained 0.2% to $2,042, and zinc inched up 0.06% to $2,715.5.
Source: Reuters