MGB sees 'minimal effect of copper tariff on Phl

The imposition of a 50 percent tariff on copper by the US may force local producers to find alternative markets to offset potential losses and adjust to anticipated global price volatility, the Mines and Geosciences Bureau (MGB) said.

- By JASPER EMMANUEL ARCALAS

The MGB said the impact of the new US tariffs, which will take effect on Aug. 1, will be "modest" in the short term given the Western economy's "small" share in the country's copper exports.

Nonetheless, movements in the global copper market caused by the tariffs will still have an impact on local copper miners, the MGB added.

"The tariff may lead to copper price volatility, which could affect the revenue of Philippine producers," the MGB added.

The three-month copper futures on the London Metal Exchange fell to $9,645 per metric ton on July 11 from $10,015 per MT on July 3 following Trump's copper tariff announcement.