KEY POINT
- Copper prices climbed as legal uncertainty around US tariffs eased, improving the global trade outlook.
- The US Supreme Court ruling on Trump tariffs removed a key risk factor affecting industrial metals markets.
- Broader gains were recorded across base metals, reflecting renewed investor confidence.
LONDON, Feb. 20, 2026 — Copper prices rose on the London Metal Exchange after the US Supreme Court struck down a sweeping tariff policy introduced by former President Donald Trump, easing concerns over global trade disruptions and lifting investor sentiment across metals markets.
Copper markets reacted swiftly to the U.S. Supreme Court ruling on Trump tariffs, with prices climbing in London alongside gains in US equities.
The decision signaled a shift in the legal framework governing US trade policy and reduced fears of prolonged tariff driven disruptions in global supply chains.
The tariffs, introduced during Trump’s presidency under the International Emergency Economic Powers Act, were designed as broad reciprocal measures targeting multiple trading partners.
They formed a central pillar of Trump’s trade strategy, aimed at reducing trade deficits and reshaping international commerce.However, legal challenges argued that the administration had exceeded its statutory authority.
The Supreme Court ruling invalidated those broad based tariffs, though sector specific duties on metals such as steel and aluminum justified under national security provisions remain unaffected.
Copper, widely viewed as a barometer of global economic health, has been particularly sensitive to trade policy shifts due to its extensive use in construction, manufacturing and clean energy technologies.
Market analysts said the US Supreme Court ruling on Trump tariffs removes a layer of unpredictability that had weighed on commodities.
“Legal clarity around US trade policy is critical for metals markets,” said Daniel Hynes, senior commodity strategist at ANZ Group Holdings Ltd. “The removal of these tariffs reduces downside risks for industrial demand expectations.”
Similarly, Caroline Bain, chief commodities economist at Capital Economics, said the ruling could support broader market sentiment.
“While the direct impact on copper demand is limited, the psychological effect on investors is significant,” Bain said. “It reinforces expectations of smoother global trade flows.”
Officials in Washington indicated the administration may explore alternative legal pathways to impose trade restrictions, though analysts note such mechanisms are often narrower in scope and slower to implement.
| Metric | Current Level (Feb. 20, 2026) | Previous Session | Change |
|---|---|---|---|
| Copper Price (LME) | $12,908 per metric ton | ~$12,805 | +0.8% |
| Intraday Peak | +1.3% | — | — |
| LME Metals Rising | 6 out of 6 | — | Broad gains |
Traders and industry participants highlighted the broader implications of the US Supreme Court ruling on Trump tariffs beyond immediate price movements.
“The ruling removes a major overhang for global metals trade,” said Michael Widmer, head of metals research at Bank of America. “It could stabilize supply chains that were previously distorted by tariff uncertainty.”
From the manufacturing sector, Elena García, procurement director at a European industrial firm, said the decision may ease cost pressures.
“Tariffs created volatility in pricing and sourcing,” García said. “Any step toward predictable trade policy helps companies plan better.”
The White House has indicated it may pursue alternative trade measures, though these are expected to be more limited than the original tariff framework. Market participants will monitor whether new policies emerge and how quickly they can be implemented.
Copper prices are also likely to remain influenced by macroeconomic factors, including global growth trends, infrastructure spending and the pace of energy transition projects.
The US Supreme Court ruling on Trump tariffs has provided immediate support to copper prices and broader metals markets by reducing legal and policy uncertainty.
While the long term trajectory of US trade policy remains in flux, the decision marks a significant moment for global commodities and reinforces the close link between legal frameworks and market dynamics.
