Considering the Future of Impending Copper Tariffs

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The Global Electronics Association is alerting industry members that a potential 50% tariff on copper could hit U.S. electronics manufacturers where it hurts.

In a LinkedIn post this week, the Association stated, “These tariffs risk undercutting efforts to rebuild U.S. electronics manufacturing by raising costs before viable alternatives exist. These tariffs would land hard on the PCB industry.”

Based on a survey of its members, the Global Electronics Association is reporting that:

• 50% of U.S. PCB makers expect a 16–30% jump in manufacturing costs
• 25% say costs could rise even higher
• 75% of copper inputs are imported, with no easy domestic alternatives

“Copper removed during production still counts toward the tariff, even if it’s never shipped,” the LinkedIn post stated.

Thiago Guimaraes, director of industry intelligence at the Global Electronics Association, wrote an extended brief about the copper tariff issue. He described the situation, where U.S. President Donald Trump raised the possibility of imposing a 50% tariff on copper imported into the United States, effective Aug. 1.

“These actions have already caused copper prices to spike and stimulated an intense debate among PCB manufacturers, laminate suppliers, and EMS firms, all of whom are eager to review their risk exposure and consider what a tariff of this magnitude would mean for them,” he wrote.

The report outlines copper’s role in PCB manufacturing, estimates the cost of copper tariffs, possible adjustments under discussion, domestic incentives, and an outlook.

“The key variables they are watching are scope (will tariffs be imposed on raw materials versus semi-finished and finished goods), rules on determining valuation, and the availability of domestic substitutes,” Guimaraes writes. “These variables must be clarified to help companies plan responsibly while policymakers evaluate the best path toward strengthening the U.S. electronics supply chain.”

To learn more about the expected impact to the electronics manufacturing industry, click here to read the full brief, “Copper Tariffs and the Hidden Costs to U.S. Electronics Manufacturing,” presented by the Global Electronics Association