Trump reverses Biden-era pollution rules on U.S. copper smelters

[Close-up of new and shiny сopper pipe.]
SimoneN/iStock via Getty Images

President Trump signed a proclamation granting an exemption [https://www.whitehouse.gov/fact-sheets/2025/10/fact-sheet-president-donald-j-trump-grants-regulatory-relief-from-burdensome-epa-restrictions-to-promote-american-copper-security/] for U.S. copper smelters, including Freeport-McMoRan (NYSE:FCX [https://seekingalpha.com/symbol/FCX]), from certain Biden-era air pollution rules that had imposed stricter limits on emissions, the White House announced late Friday.

The Environmental Protection Agency's "Copper Rule," finalized in May 2024, had required smelters to curb pollutants including lead, arsenic, mercury, benzene and dioxins under updated federal air standards.

Trump's proclamation granting a two-year exemption from compliance "ensures that the stationary source, a copper smelting facility, can continue to operate uninterrupted to support national security without incurring substantial costs to comply with unattainable compliance requirements."

The proclamation noted only two primary copper smelters remain in operation in the U.S.; the order will apply to Freeport-McMoRan (NYSE:FCX [https://seekingalpha.com/symbol/FCX]) smelter in Arizona, while Rio Tinto's (RIO [https://seekingalpha.com/symbol/RIO]) smelter in Utah by the 2024 rule due to the company's investment in equipment that captures emissions.

Trump's executive order earlier this year identified copper as a critical material, which led to a Section 232 investigation to determine whether copper imports threaten U.S. national security, and then to the imposition of a 50% tariff on certain imported copper.

Meanwhile, copper futures surged toward a record high [https://seekingalpha.com/news/4508476-copper-nears-record-high-on-us-china-trade-optimism] as the U.S. and China neared a broad agreement to ease trade tensions, and on expectations that the Federal Reserve will cut interest rates this week.

ETFs: (OTCPK:COPR [https://seekingalpha.com/symbol/COPR]), (CPER [https://seekingalpha.com/symbol/CPER]), (OTC:JJCTF [https://seekingalpha.com/symbol/SM])

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