On February 25, 2025, the President issued an executive order addressing national security threats from copper imports. This order highlights the significance of copper to national security and the economy, revealing vulnerabilities in the current supply chain.
1. Importance of Copper:
• Copper is critical for national security, economic strength, and industrial resilience.
• It is essential for defense applications, infrastructure, and emerging technologies like clean energy and electric vehicles.
2. Supply Chain Vulnerabilities:
• The U. S. heavily relies on foreign sources for copper while having significant reserves.
• A foreign producer dominates the global smelting and refining of copper, controlling over 50% of the capacity.
3. Policy Objectives:
• The U. S. aims to create a reliable domestic copper supply chain to reduce reliance on concentrated foreign sources and potential market manipulation.
4. Investigation Mandate:
• The Secretary of Commerce will initiate an investigation to assess the national security impact of copper imports, including various forms such as raw, refined, and scrap copper.
5. Assessment Criteria:
• Factors will include the demand for copper in defense and critical infrastructure, domestic production capabilities, risks associated with foreign supply chains, and the effects of foreign trade practices.
6. Required Actions:
• The Secretary of Commerce will consult with various departments, and a report will be submitted to the President within 270 days. The report will evaluate the security risks and propose mitigation strategies like tariffs and increased domestic production.
7. General Provisions:
• The order will not interfere with existing legal authorities and will be implemented according to applicable laws and budget constraints.
This executive order reflects a proactive approach to securing the U. S. copper supply and reducing foreign dependency to safeguard national security and economic stability.
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