Chile's Copper Dilemma: Navigating Trump's Tariff Surprise

Chile, the world's leading copper producer, is facing uncertainty following an unexpected announcement from U.S. President Donald Trump introducing a 50% tariff on copper imports. The Andean nation, caught off guard, is keenly awaiting clarity as its largest miner, Codelco, hopes for possible exemptions.

In an interview with Reuters, Codelco Chairman Maximo Pacheco emphasized the need for detailed information on the affected copper products, questioning whether the tariff impacts all countries or only specific ones. He remained cautious, acknowledging historical exceptions in such trade matters.

Following Trump's announcement, U.S. Comex copper futures soared over 12% to record highs. Chile's foreign ministry highlighted its lack of formal communication regarding the tariff's implementation and reiterated its ongoing dialogue with U.S. authorities. This move places further pressure on Chile, given its previous resistance to earlier U.S. probes into copper imports.

(With inputs from agencies.)