Finance Minister Pushes for Copper Deal Inclusion
Chile’s Finance Minister Mario Marcel said Monday that copper tariffs will be a key topic in this week’s U.S.-Chile trade negotiations in Washington. Speaking on Chilean radio, Marcel emphasized the need for copper to be part of a broader trade agreement, rather than a separate issue. This comes as President Donald Trump’s administration prepares to enforce 50% tariffs on copper imports starting August 1.
Chile, the world’s largest producer of copper and the top supplier of refined copper to the U.S., fears the tariffs could significantly impact its trade flow. Although the majority of its copper exports go to China, the U.S. remains a major destination. The outcome of these talks could shape the future of Chile’s trade relationship with the United States.
Second Round of Negotiations Begins
U.S. and Chilean officials began their second round of trade discussions Monday, with Chile pushing for the copper tariffs to be addressed in tandem with broader economic negotiations. “It wouldn’t be very useful for us to have a trade agreement that excludes more than half of our exports to the U.S., such as copper and wood,” Marcel told local media.
While he did not confirm whether Chile would formally seek a direct exemption from the tariffs, he reiterated the country’s position: copper must be part of the trade pact under discussion. Marcel cited global precedent, pointing out that other countries have negotiated carve-outs in previous agreements and that Chile hopes to achieve something similar.
U.S. Tariff Strategy Raises Tensions
The Trump administration’s planned 50% tariff on copper is part of a broader push to prioritize domestic production and reduce reliance on foreign metals. While this approach may benefit U.S. miners, it risks alienating key trade partners such as Chile. The copper tariff decision follows a series of similar protectionist measures, including tariffs on steel, aluminum, and various tech components.
Marcel’s comments suggest Chile views the copper issue as non-negotiable if the two nations hope to advance trade cooperation. Analysts believe the outcome of this week’s meetings could influence broader regional policy toward U.S. trade in Latin America.