Anglo American CEO Warns U.S. Tariffs Threaten Global Mining Competitiveness

Anglo American PLC CEO Duncan Wanblad issued a stark warning Wednesday, cautioning that escalating U.S. tariffs on imported metals could destabilize global supply chains and inflate costs across the mining sector. His remarks follow the Biden administration’s recent 25% levy on $18 billion of Chinese imports, including critical minerals like graphite and rare earths, intensifying trade tensions.

“Protectionism risks fragmenting markets just as demand for transition minerals surges,” Wanblad told investors during a London Metals Exchange forum. He highlighted tariffs’ “cascading effects,” noting that 40% of U.S. aluminum and 50% of copper imports now face duties, complicating sourcing for automakers and renewable energy firms. Anglo, which supplies coal to U.S. steelmakers and copper to tech firms, reported a 12% rise in H1 operational costs, partly tied to logistics bottlenecks.

The critique aligns with industry pushback. The Minerals Council of Australia recently cited tariffs as a “material risk” to U.S.-allied critical mineral projects, while Chilean copper giant Codelco warned of delayed investments. Analysts suggest tariffs could redirect $15 billion in mining CAPEX from the U.S. to friendlier jurisdictions like Canada or Brazil by 2026.

Washington defends the measures as essential for securing supply chains, but Wanblad argues collaboration, not barriers, is key. “The energy transition requires 6.5 million metric tons of copper annually by 2030—double current production. Tariffs won’t dig those mines,” he said.