In the context of global economic uncertainty: copper continues to decline amid rising inventories and weakening demand

HappyMinerUncle · 2026-02-13T01:17:00+00:00

Global copper prices are declining due to concerns over material accumulation and weak Asian demand. A significant 3.2% drop in prices reflects this trend. Increased warehouse stocks at LME indicate a shift in supply strategies as traders redirect materials, influenced by changing import tariff expectations and weakening industrial demand.

HappyMinerUncle

2026-02-13 01:17:00

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Global copper prices are showing a steady downward trend, reflecting growing market concerns about material stockpiling and weakening activity in the Asian region. In the previous trading session, prices fell significantly by 3.2%, confirming the persistent downward trend, according to the analytical platform Jin10.

Redistribution of materials and rising inventories at LME warehouses

Experts from Guoyuan Futures, particularly analyst Fan Rui, point to a key factor behind the current dynamics: a substantial increase in inventory levels indicates a shift in material flows. Traders are redirecting volumes originally planned for the U.S. market to regional LME warehouses, due to the disappearance of the premium that previously attracted activity in the United States.

This process reflects the market’s adaptation to changing conditions, where traditional sales channels become less profitable due to the disruption of price differentials between regions.

Impact of tariff expectations on price differentials

Market participants’ concerns about the potential introduction of import tariffs have played a role in transforming the market. The Comex premium over LME, which reached its peak last summer, has now significantly decreased. This reduction in price differential has removed incentives for active trading in the U.S. market, contributing to a global reevaluation of supply strategies.

Physical market reaction: slowdown in industrial purchases

The physical market situation shows mixed signals. Although there was a wave of material buying at lower prices earlier this week, this momentum soon faded. Processing and manufacturing activity indicates a clear slowdown, confirming weakening underlying demand both in Asia and other regions.

The combination of rising inventories, declining regional price premiums, and weakening manufacturing demand creates a multi-layered backdrop for further short-term pressure on copper prices.

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