According to ProChile, in 2024, the US market will account for 11.3% of Chilean copper exports, compared to 52% for China.
Beginning March 4, 2025, all steel and aluminum imports entering the United States (US) will be subject to a 25% tariff, as set out in a series of executive orders signed by President Donald Trump.
For Chile, although it is not a key exporter of steel or aluminum, copper, its main export product, could be directly affected.
This is because experts warn that tariff policies could extend to red metal, which would generate uncertainty in the global market and in the Chilean economy.
Fears of a US copper tariff
Trump has already threatened to impose tariffs “on steel, aluminum, copper and things we need for our military.”
Of these raw materials, orders have already been signed against steel and aluminum. So it remains to be seen whether the new US administration will implement a tariff on imported red metal.
For context: according to data from the Undersecretariat of International Economic Relations of Chile (Subrei), copper accounted for 50.8% of Chile's total exports in 2024.
For its part, ProChile details that in 2024, the US accounted for 11.3% of Chilean copper exports, compared to 52% for China.
In this regard, the president of the Chilean Mining Chamber, Manuel Viera, warns that, as the main producer of copper, the country faces a warning: If the US expands the restrictions, the blow would be strong, reducing money and affecting mining investment.
For his part, Juan Ortiz, a member of the Economic Context Observatory of Diego Portales University, explains that although the US is not a partner at the level of China - with respect to copper - the level of exports that reach the North American country would inevitably have an impact on the national economy.
In the future, if the measure is applied, government actions will be key to mitigating its effects.
Felipe Lopeandia, Senior Manager of Global Trade & Investment at Deloitte, points out that the search for and consolidation of new markets, together with the strengthening of trade agreements, will play a fundamental role in the country's economic stability.
Chile, as one of the countries with the largest number of free trade agreements in the world, faces the challenge of adapting to an increasingly protectionist global scenario.
This situation adds to the uncertainty in maritime trade, where, despite the fall in freight prices, costs remain high compared to pre-pandemic levels, affecting the competitiveness of Chilean exports.
