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Base Metals Lower as Economic Growth Risks Weigh -- Market Talk
The USA has excluded Steel, Aluminum, and Gold from reciprocal tariffs to alleviate cost pressure on domestic companies.
The White House stated that Steel and Aluminum imported products will not be affected by reciprocal tariffs, which will provide some buffer for domestic buyers in the USA.
Trump announced the implementation of "reciprocal tariff" measures, and several trade partners stated they would take countermeasures.
On April 2, the president of the USA, Trump, signed two executive orders announcing a 10% "minimum benchmark tariff" on all trade partners and imposed higher tariffs on several trade partners; The benchmark tariff rate will take effect at midnight on April 5, and reciprocal tariffs will take effect at midnight on April 9; Several trade partners have stated that they will take countermeasures, and the EU and Canada have already formulated counter plans.
Reevaluation of the Aluminum industry.
Morgan Stanley pointed out that by 2025, the Global aluminum materials supply chain will undergo significant changes: bauxite will shift from shortage to balance, alumina supply will change from shortfall to surplus by 4 million tons, while the aluminum market will maintain a supply-demand gap of 0.257 million tons. This differentiated supply-demand pattern is reshaping the Industry profit margin structure.
Showing goodwill towards Trump? The EU has postponed retaliatory tariffs against the US!
The EU will postpone the implementation of retaliatory tariffs against the U.S. until mid-April, which may be a strategy for the EU to demonstrate a positive stance.
Base Metal Prices Mixed After Copper Briefly Hits $10,000 -- Market Talk