U.S. energy independence has been one of the goals of President Trump’s administration. That should provide tailwinds for the copper mining industry. In turn, it should open up investment opportunities in copper mining stocks.
As reported by Stockhead, one of the points of contention in the ongoing U.S./China trade war is critical minerals. These are essential for the next wave of alternative energy technologies as the push to reduce global emissions reaches a higher amplitude.
Exploring the Impact of Tariffs
With the U.S. looking to rely less on other nations for copper supply, the revival of copper mining projects is one area of focus. Executive orders under President Trump are already underway, exploring the impact of tariffs on copper supplies and an increase in mineral production (namely copper).
“The March 20 executive order is just one of about four or five that have come out in relation to critical minerals and securing the US’ energy dominance again,” said New World CEO Nick Woolrych.
“Copper is a huge focus. Resolution is an industry changing project if that gets up, but I think for New World the main difference we have is we’ll be producing critical minerals which are copper and zinc and a priority mineral – gold – actually during this presidential term,” he said,
Getting Copper Mining Exposure
With tailwinds blowing behind copper miners, it offers an opportunity for investors to get exposure to copper mining ETFs. With that in mind, Sprott has a pair of funds that are worth of consideration: the Sprott Copper Miners ETF (COPP) and the Sprott Junior Copper Miners ETF (COPJ).
