US imports of copper cathode from the Democratic Republic of Congo (DRC) surged to a record 53,290 tonnes in July, equal to 23.9% of overall US copper imports that month, according to US trade data cited by Reuters. Overall imports exceeded 220,000 tonnes for the first time, while July's DRC shipments alone surpassed the less than 32,000 tonnes imported from the country during all of 2024.

Traders had been bringing metal into the US amid uncertainty over Section 232 tariffs recommended by the Commerce Department of 15% on refined copper from January 2027 and 30% from 2028, with a presidential decision still pending as of late August.

Beyond the tariff trade, Congolese cathode is establishing a place in the US physical market even though no DRC brands are approved for delivery against COMEX futures, giving American industrial consumers another source of supply beyond the traditional Latin American producer base. It also gives DRC copper a larger outlet outside China. Reuters noted that only two African copper brands, both from Zambia, are approved by COMEX, the US metals futures market operated by CME Group.

A sharp rise in copper output in the DRC, the world's second-largest mined copper producer and a major producer of refined copper, has supported the expansion. Provisional Ministry of Mines statistics cited by Congolese business outlet LePoint.cd put first-half exports at 1.477mn tonnes of 99.99%-purity copper cathode. Hydrometallurgical solvent extraction and electrowinning (SX-EW) is widely used in the Copperbelt — MMG's Kinsevere operation, for example, produces LME Grade A cathode using SX-EW — although not all Congolese copper follows the same processing route.

Major DRC producers include Glencore (LSE: GLEN), operator of Kamoto Copper Company and Mutanda Mining, and China's CMOC Group (SSE: 603993; HKEX: 03993), which runs Tenke Fungurume and Kisanfu. Ivanhoe Mines (TSX: IVN) and China's Zijin Mining (SSE: 601899; HKEX: 2899) each hold an indirect 39.6% interest in Kamoa-Kakula, alongside the DRC government's 20% and Crystal River's 0.8%.

The Congolese state is also trying to capture more of the value from marketing that production rather than leaving trading entirely to mine operators and international merchants. State miner Gécamines has established a copper and cobalt trading venture with Mercuria, which provides financing, logistics and trading expertise. In January, Gécamines exercised rights to buy 100,000 tonnes of Tenke Fungurume's 2026 copper production for sale into the US market and said it ultimately aims to secure marketing rights over as much as 500,000 tonnes of copper a year.

Neighbouring Zambia is pursuing a similar strategy. Its state-owned Industrial Development Corporation has partnered with Mercuria through subsidiary Industrial Resources Limited to build domestic copper-trading capabilities and retain more value from the country's mineral exports.

Chinese ownership of DRC mines does not tell investors where the metal ends up or necessarily mean tonnes are being diverted from China. The US trade data identify country of origin rather than producer, so they cannot show which mines supplied July's cargoes. Reuters noted that higher Congolese production has increased the amount of copper available for sale into alternative markets generally.

Congolese policy remains another variable. A June 29 government order prohibits exports of copper and cobalt concentrates to encourage domestic processing, but does not directly restrict the refined cathode driving the rise in US imports. The mines minister may grant one-year exemptions in specified technical or economic circumstances.

Pricing also helps explain the appeal. Albert Mackenzie, copper analyst at Benchmark Mineral Intelligence, told Reuters that the absence of COMEX approval suggested DRC cathode was going directly into the physical market, where it could offer consumers a substantial price advantage. COMEX copper traded at premiums of about $400-$600 per tonne over London Metal Exchange (LME) prices at times during the summer, he said.

Two industry sources told Reuters that Congolese copper is priced against the LME, with one saying material was typically sold at discounts of $550-$800 per tonne to account for freight costs. A second industry source told the news agency that better cathode quality had also increased acceptance among US buyers, including copper rod mills and tube manufacturers.

DRC shipments to the US have been volatile, and a resolution of the tariff question could remove some of the incentive to front-load imports — July's extraordinary volumes may prove hard to repeat. But the quality gains suggest Congolese cathode has built a firmer foothold in the US physical market than it had a year ago, tariffs or not.