Group 1 - The rising copper prices in Japan have led to a trend of substituting aluminum for copper in cable production, as aluminum costs significantly less, priced at approximately $2,850 to $2,890 per ton, which is about one-fourth of copper's price [2][5] - JX Metals reported a record copper benchmark price of 1.8 million yen per ton (approximately 81,700 RMB), marking a 25% increase compared to the end of last year, and more than double the average price from five years ago [2][4] - The increase in copper prices is influenced by the London Metal Exchange (LME) prices and the depreciation of the yen, which has raised Japan's copper import costs [2] Group 2 - The price of brass round bars, a representative copper product, has also increased, with wholesale prices around 1,417 yen per kilogram, up 20% from last year, although demand remains sluggish due to labor shortages in the housing sector [4] - Despite low demand in construction, copper prices continue to rise, prompting discussions about replacing brass with stainless steel in various applications, as the price gap between the two is narrowing [5] - Companies like J-Power HST are shifting their strategy to proactively expand sales of aluminum cables, focusing on existing customers, while still acknowledging that copper remains irreplaceable in many applications due to its superior conductivity [7]

Group 1 - The global largest copper cable manufacturer, Prysmian SpA, welcomes the 50% copper tariff announced by President Trump, stating it will strengthen the U.S. supply chain, although costs will be borne by customers [1] - Prysmian's investor relations and sustainability head, Maria Cristina Bifulco, indicated that the company is in regular communication with U.S. officials to prepare for the tariff set to take effect on August 1 [1] - The tariff announcement has caused turmoil in the metal market, with traders shipping record amounts of copper to the U.S. ahead of the tariff implementation [1] Group 2 - Bifulco expressed that the tariff will further strengthen the leadership of local businesses, positioning Prysmian favorably in competition [2] - There are differing opinions in the industry regarding the tariff's impact, with some analysts warning that significant copper production growth in the U.S. will take years and require more incentives [2] - U.S. copper prices have surged due to tariff expectations, and while Encore has managed to pass on cost increases so far, future demand resilience remains uncertain [2] Group 3 - Since its spin-off from Pirelli in 2005, Prysmian has expanded through acquisitions, including the purchase of Encore Wire to enhance its position in low-voltage electrical applications, crucial for data centers [3] - Bifulco noted that the cable industry is becoming increasingly attractive, as the company is at the core of electrification and digitalization processes [3]