Copper prices surged to a historic high after US President Donald Trump announced plans for a 50% tariff on imported copper. Trump's policy triggered a shock in the global market. In the midst of this uproar, Indonesia has a strategic opportunity to take over part of the market and strengthen its fiscal resilience through exports and export duties.

The surge in copper prices due to Trump's sentiment brought copper prices to US$5,676 per pound or around $12,510 per ton, an increase of 3.58% in a day.

This increase confirms the global trend since 2024 due to supply deficits from Latin America and skyrocketing demand from the electric vehicle and AI sectors. Bank of America projects that prices will touch US$5.44 per pound in 2026, while the International Copper Study Group predicts global consumption this year will exceed 25.88 million tons.

While major copper exporting countries such as Peru and Mexico are preparing to be affected by tariffs, Indonesia is in a different position.

Export data from the Ministry of Trade's Satudata shows that from January to April 2024, Indonesia exported US$2.26 billion worth of copper ore and US$781 million worth of copper products and derivatives.

Most of these exports are not destined for the US, but rather to China and other Asian regions. This means that the US tariff burden on copper is not a big risk for Indonesia, but rather the potential to fill the global supply gap.