Since 2020—even before the additional tariffs imposed by the Trump Administration this morning—the price of copper has surged by 75%. The element has since become a vital component in the world’s transition from fossil fuels to renewable energy sources. Its primary value lies in its exceptional conductivity, which makes it indispensable for wiring in a wide range of electrical systems. Electricity generated by wind, solar, and other alternative energy sources relies on copper to reach homes and businesses around the globe. This rising demand is the core driver behind copper’s increasing strategic importance—making it a key focus in Washington’s agenda under the current administration.

Donald Trump has also emphasized the significance of securing access to minerals and metals globally. This has been evident through initiatives such as deep-sea mining in the Pacific, deal-making with Greenland, and even brokering the peace deal between Ukraine and Russia. These efforts highlight how critical minerals are becoming central to a shifting world order—one that is increasingly shaped by the race to dominate the future of clean energy. Nations that control the mining, transportation, and refining of such resources will hold a significant advantage in the emerging energy economy.

Currently, the largest copper mines are located in Chile, Peru, and the Democratic Republic of the Congo—all of which are struggling to meet rising global demand due to the accelerating shift to renewables.

One company, Thomas Instrumentation, has revealed that the circuit boards they manufacture require significant amounts of copper to power components such as LED lighting. While these uses may seem minor in scale, the key point is the critical role copper plays in conducting electricity, particularly in applications related to renewable energy.

The key takeaway here is that the three rapidly emerging technologies addressing the fossil fuel issue are consuming an extreme amount of copper—a resource the United States will need to control if it wishes to assert dominance in the next era of energy.

Washington’s main disadvantage in this sector is that it does not refine copper domestically, meaning it must outsource the processed metal from countries like China. Known for its vast manufacturing capacity, Beijing can use this dependency as leverage, potentially forcing the United States to pay higher prices for a material that the Chinese Communist Party (CCP) also recognizes as one of the most valuable metals in the coming years.

This pie chart represents the global distribution of countries involved in copper refining, clearly illustrating how much control China holds over this critical process. Such dominance is something the current U.S. administration is unwilling to tolerate in its pursuit of maintaining influence in a rapidly transitioning world order. This shift brings with it a new wave of global challengers to U.S. hegemony—China, Iran, and Russia. Former President Donald Trump has already managed to suppress one of the three, Iran, reducing it to a near non-threat. Now, his focus must shift to the remaining two adversaries, both of which understand the strategic advantage of a declining Washington.

The new tariffs targeting copper—set at 50%—affect various countries, including China, and are part of a broader effort to renegotiate trade deals surrounding U.S. imports. If there’s one takeaway from previous rounds of tariff implementation, it’s this: a deal eventually emerges, and it often serves U.S. interests by securing lower long-term prices for critical imports like refined copper.

In the realm of zero-sum politics, there can be no room for rivals to gain an upper hand. President Trump is engaging in a strategic political chess match with Beijing, and these tariffs represent his next calculated move toward securing another victory.