- Copper gains alongside continued warehouse inflows
- US supply tightness keeps aluminium premiums elevated
Base metals prices on the London Metal Exchange (LME) edged higher on 22 January, with modest gains recorded across most of the complex. Aluminium prices rose 0.24% to $3,115/t, while LME stocks increased 5.01% to 507,175 t, pointing to fresh inventory inflows. Nickel outperformed, climbing 2.17% to $17,996/t, as stocks edged lower by 0.03% to 284,664 t.
Copper prices gained 0.44% to $12,810/t, accompanied by a 1.98% rise in inventories to 159,400 t, indicating continued inflows at exchange warehouses. Zinc edged up 0.08% to $3,176/t, supported by a 0.40% decline in stocks to 111,850 t. In contrast, lead slipped 0.32% to $2,022/t, even as inventories fell 1.30% to 222,650 t, signalling slightly tighter availability.
Domestic market overview
In India’s non-ferrous metals markets, aluminium Tense scrap prices edged higher d-o-d. Ex-Delhi assessments rose by INR 1,000/t to INR 207,000/t, indicating slightly improved buying interest, while ex-Chennai prices increased by INR 1,500/t to INR 206,000/t, supported by firmer regional demand. Meanwhile, copper armature scrap prices, ex-Delhi, inched up by INR 1,000/t (up 0.1%) to INR 1,121,000/t, reflecting steady demand and selective buying amid cautious market sentiment.
Other updates
US aluminium premiums surge as tariffs bite, stocks shrink
US aluminium buyers are paying a record premium of around 68% over LME prices for physical metal, as successive tariff hikes this year have sharply tightened supply and pushed all-in prices above $5,000/t. While tariffs were intended to revive domestic smelting, the near-term response has been limited, leaving the US reliant on shrinking imports, particularly as Canadian shipments have been diverted to Europe. With little opportunity for pre-emptive stockpiling, domestic inventories have fallen steeply from about 750,000 t at the start of 2025 to below 300,000 t, intensifying supply tightness and keeping premiums elevated despite the theoretical incentive for new supply.
Korea Zinc eyes $3 billion recovery from residual metals at US smelter site
Korea Zinc Chair Choi Yun-beom said the company could recover more than $3 billion worth of residual metals from waste materials at a former US smelter it plans to redevelop into a critical minerals complex, supporting US supply chains amid rising competition with China. The site holds about 600,000 t of zinc-, copper-, lead-, silver- and germanium-bearing material, which Korea Zinc expects to process over six to seven years as part of its $7.4 billion Clarksville, Tennessee investment. Choi said the company has secured assurances from the US government on workforce protections and rejected claims that the project is driven by internal ownership disputes rather than strategic growth.
Copper advances as Trump softens stance on Greenland dispute
Copper prices rose as risk appetite improved after US President Donald Trump dialed back threats against European partners over the Greenland dispute, easing geopolitical tensions that had unsettled markets. The softer stance boosted investor sentiment and lifted copper prices amid reduced trade‑policy uncertainty.
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