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The new tariffs are reportedly expected to apply to primary steel and aluminum and products that contain these metals, widening the impact.
Copper stocks rose ahead of Tuesday’s open as The Wall Street Journal report suggested the U.S. will not only move forward with new steel and aluminum tariffs on March 12, but will also expand them to include metal-based products.
Shares of Southern Copper Corporation (SCCO) and Freeport-McMoRan Inc. (FCX) rose at least 1.5% pre-market following the report.
The report said the Trump administration appears firm in its stance on maintaining and broadening the tariffs despite internal discussions and consultations with industry and labor groups.
Copper stocks also drew support from a separate Reuters report suggesting President Donald Trump plans to establish metal refining facilities on Pentagon military bases.
The initiative, which aims to boost domestic production of critical materials and reduce U.S. reliance on China, could be formalized as soon as Wednesday, the same day the tariffs go into effect.
According to the report, Trump’s executive order would direct the Pentagon to collaborate with other federal agencies to install processing facilities on military bases.
Senior officials told Reuters that the move is a part of a broader strategy to insulate U.S. supply chains from geopolitical risks tied to China’s dominance in the metals sector.
On Stocktwits, retail sentiment around Freeport-McMoRan’s shares improved to ‘extremely bullish’ from ‘bullish’ a day ago, accompanied by ‘high’ levels of chatter.
However, sentiment around Southern Copper’s stock edged lower but stayed in ‘neutral’ territory.
Freeport-McMoRan’s stock is down 10% year-to-date and has lost 13% over the past 12 months. It dropped more than 6% on Monday as broader market recession concerns weighed on commodities.
Southern Copper's stock, in contrast, has fared better. While it is down 3% this year, it remains up 6% over the past 12 months.
For updates and corrections, email newsroom[at]stocktwits[dot]com.<
Read also: Steel Dynamics Stock Gains Pre-Market As Morgan Stanley’s Bullish Call On Tariff-Driven Gains Spurs Retail Interest
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