Texas Border Business
Texas Border Business
On July 30, 2025, President Donald J. Trump issued a proclamation announcing new measures to adjust imports of copper and copper-based products into the United States. The decision followed a formal investigation by the Secretary of Commerce under Section 232 of the Trade Expansion Act of 1962, which concluded that the volume and conditions of copper imports posed a threat to national security.
According to the Secretary’s report submitted on June 30, 2025, copper in all forms—including ores, concentrates, refined metal, alloys, scrap, and derivatives—is entering the U.S. in such high quantities that it is undermining domestic industry. “Copper is being imported into the United States in such quantities and under such circumstances as to threaten to impair the national security of the United States,” the Secretary found.
Copper is widely used in the defense industry and in essential infrastructure. It is the second most-used material by the Department of Defense and is critical to the manufacture of aircraft, vehicles, submarines, and ammunition. The Secretary emphasized that copper’s “exceptional electrical conductivity and durability” also make it indispensable to critical sectors such as power grids, water systems, and telecommunications.
The investigation revealed that U.S. copper production has sharply declined over the past several decades. At one point, the United States led the world in copper mining, refining, and manufacturing. However, this position has eroded due to “unfair trade practices abroad” and “overly burdensome environmental regulations at home.” Today, a single foreign country—unnamed in the document—controls over half of the world’s copper smelting capacity and owns four of the five largest copper refineries globally.
The Secretary concluded that this dependency on foreign copper has become a “national security vulnerability” that could be exploited during global crises, weakening U.S. industrial resilience and military readiness.
To counter these risks, the President accepted the Secretary’s recommendation for strong corrective measures. These include:
• A 50 percent tariff on all semi-finished copper products and intensive copper derivative products, effective August 1, 2025.
• A review process within 90 days to potentially expand tariffs to additional derivative copper articles.
• Tariffs on refined copper starting January 1, 2027, with a 15 percent duty, increasing to 30 percent by 2028, depending on a review of the domestic copper market.
• New rules requiring domestic sales of at least 25 percent of copper input materials and high-quality copper scrap beginning in 2027.
• Export controls on high-quality copper scrap.
President Trump stated that “this action will adjust the imports of semi-finished copper products, intensive copper derivative products, and certain other copper derivatives” to ensure the U.S. is no longer overly reliant on foreign sources. He said it will promote “investment, employment, and innovation” in U.S. copper manufacturing and “strengthen supply chains.”
To enforce these measures, U.S. Customs and Border Protection (CBP) will issue strict guidelines. Importers must fully disclose the copper content in imported goods. Noncompliance could lead to “significant monetary penalties, loss of import privileges, and criminal liability.”
The proclamation also coordinates with trade policy actions previously announced in 2025, including those addressing imports of steel, aluminum, automobiles, and goods linked to national border security and illegal drug flows. If a product falls under multiple proclamations, only one set of duties will apply, generally deferring to the earlier or more specific ruling.
In an additional step, copper and high-quality copper scrap have been designated as materials critical under the Defense Production Act, authorizing the Secretary of Commerce to implement domestic supply requirements.
The President concluded that these actions were justified under several legal authorities, including Section 232, the International Emergency Economic Powers Act, the Defense Production Act, and the Trade Act of 1974.
“In my judgment,” Trump wrote, “this action will… reduce our Nation’s reliance on foreign sources” and ensure that U.S. manufacturers can meet critical defense and infrastructure needs.
These steps are part of a broader strategy to rebuild industrial capacity in the United States and address strategic dependencies in key supply chains. The Secretary of Commerce is tasked with monitoring the results of this action and will provide an update on the domestic copper market by June 30, 2026.
