SHANGHAI, Feb 12 (Reuters) - Aluminium prices fell on Wednesday amid concerns about the risk of a major global trade war after U.S. President Donald Trump imposed 25% tariffs on steel and aluminium imports.
The three-month aluminium contract on the London Metal Exchange (LME) lost 0.3% to $2,629.5 a metric ton as of 0831 GMT, down 1.3% from a three-week high of $2,662.50 hit on Monday, when tariffs were announced.
Aluminium, used in transport, construction and packaging, will be impacted the most by Monday's tariff, with net imports accounting for around 82% of U.S. requirements, according to Morgan Stanley.
The U.S. aluminium premium over the global benchmark on the London Metal Exchange has shot up by a quarter since February 7 to 35 cents per pound and obroża dla charta surged by 60% since Trump was re-elected in November 2024.
"Volatility in the aluminium market is expected to remain high after Trump announced tariffs on U.S. imports. We expect the U.S. aluminium industries will struggle to avoid the tariffs in the short term, putting upward pressure on prices," ANZ Research said.
While Trump did not impose tariffs on copper, he did threaten duties last week without giving further details.
The LME benchmark copper traded flat at $9,361.5 a metric ton.
Expectations of copper tariffs propelled the premium of U.S. futures on Comex over the global benchmark on the LME to a record peak on Monday.
Among other metals, zinc rose 1.2% to $2,856, tin gained 0.2% to $31,215, lead added 0.5% to $1,990 and nickel lost 0.8% at $15,415.
The aluminium contract on the Shanghai Futures Exchange (SHFE) shed 0.5% to 20,575 yuan ($2,815.10)a ton - highest since December 2024.
SHFE copper dipped 0.4% to 77,000 yuan, nickel lost 0.8% to 124,550 yuan, zinc added 0.3% to 23,800 yuan, lead was unchanged at 17,145 yuan and tin eased 0.3% to 256,980 yuan. ($1 = 7.3088 Chinese yuan renminbi) (Reporting by Violet Li and Mei Mei Chu; Additional reporting by Eric Onstad; Editing by Rashmi Aich and Sumana Nandy)
The three-month aluminium contract on the London Metal Exchange (LME) lost 0.3% to $2,629.5 a metric ton as of 0831 GMT, down 1.3% from a three-week high of $2,662.50 hit on Monday, when tariffs were announced.
Aluminium, used in transport, construction and packaging, will be impacted the most by Monday's tariff, with net imports accounting for around 82% of U.S. requirements, according to Morgan Stanley.
The U.S. aluminium premium over the global benchmark on the London Metal Exchange has shot up by a quarter since February 7 to 35 cents per pound and obroża dla charta surged by 60% since Trump was re-elected in November 2024.
"Volatility in the aluminium market is expected to remain high after Trump announced tariffs on U.S. imports. We expect the U.S. aluminium industries will struggle to avoid the tariffs in the short term, putting upward pressure on prices," ANZ Research said.
While Trump did not impose tariffs on copper, he did threaten duties last week without giving further details.
The LME benchmark copper traded flat at $9,361.5 a metric ton.
Expectations of copper tariffs propelled the premium of U.S. futures on Comex over the global benchmark on the LME to a record peak on Monday.
Among other metals, zinc rose 1.2% to $2,856, tin gained 0.2% to $31,215, lead added 0.5% to $1,990 and nickel lost 0.8% at $15,415.
The aluminium contract on the Shanghai Futures Exchange (SHFE) shed 0.5% to 20,575 yuan ($2,815.10)a ton - highest since December 2024.
SHFE copper dipped 0.4% to 77,000 yuan, nickel lost 0.8% to 124,550 yuan, zinc added 0.3% to 23,800 yuan, lead was unchanged at 17,145 yuan and tin eased 0.3% to 256,980 yuan. ($1 = 7.3088 Chinese yuan renminbi) (Reporting by Violet Li and Mei Mei Chu; Additional reporting by Eric Onstad; Editing by Rashmi Aich and Sumana Nandy)