Commodity Markets Diverge as Trump’s Tariff Plans Loom

US commodity markets are showing notable price divergences from global benchmarks as traders position themselves for Donald Trump’s proposed import tariffs. The president-elect’s team is considering a gradual implementation of tariffs ranging from 10-20% on foreign goods, with potentially higher rates of 60% or more for Chinese imports. According to Citigroup analysts, platinum faces the highest risk due to significant US import dependence and limited sourcing from free-trade agreement countries. Meanwhile, precious metals like gold and silver may avoid tariffs due to their status as monetary instruments and legal tender. The analysts also warn that potential 25% tariffs on Canadian imports could significantly impact US energy prices, particularly affecting refiners and consumers in regions with limited alternatives.