New Delhi [India], : President Donald Trump’s move to impose a steep 50% tariff on imports of semi-finished copper and copper-based products from August 1 could end up hurting US industry more than its intended targets of reducing import dependence, argued think tank Global Trade Research Initiative .
The US will impose a steep 50% tariff on imports of semi-finished copper and copper-based products from August 1, 2025, citing national security concerns under Section 232 of the Trade Expansion Act.
The move was formalised through a Presidential Proclamation issued on July 29, 2025, and published on the official White House website.
The decision is aimed at reducing dependence on foreign copper, which Washington claims poses a risk to critical domestic sectors such as defence, clean energy, and infrastructure.
However, GTRI maintains that the policy could end up hurting US industry more than its intended targets.
Copper is a foundational raw material for electric vehicles , power grids, semiconductors, and defence electronics.
“A sudden 50% hike in input costs will ripple through these sectors, slowing production, raising prices, and undermining the U.S. clean energy transition,” GTRI said in a report Thursday.
India exported USD 360 million worth of copper products to the US in 2024-25, including plates, tubes, and other semi-finished forms.
“These shipments will now be more expensive. But since the tariff applies uniformly to all countries including allies like Japan and the EU it creates a level playing field among global suppliers. India is unlikely to face any specific disadvantage compared to others,” asserted the GTRI report.
Moreover, the impact on India’s copper trade is limited, GTRI opined.
“In trying to protect its domestic smelting sector, the US risks penalising its downstream industries. The new tariff may bring minimal strategic gain but significant economic pain especially at a time when copper is more crucial than ever to the U.S. industrial future,” GTRI concluded.
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