There is a rapidly escalating crisis in metal thefts across the United States, with a strong increase in copper theft driven by international trade policies and increasing industrial demand. Metal thefts, especially copper and aluminum, have surged this year. This spike is widely attributed to the adoption of significant new tariffs. For example, over $1 million worth of HVAC systems were recently stolen from homes and businesses in New Mexico, with local police reporting these units were dismantled for their valuable metal components (copper & aluminum), which are then sold to recycling centers or scrap yards.
This new tariff situation creates two additional reasons for municipalities and facility managers to install more solar luminaires outdoors:
- The higher cost of copper cabling to areas without existing electrical infrastructure will give solar luminaires an increased cost advantage. Solar luminaires eliminate trenching, cabling, and electricity costs.
- Solar luminaires eliminate the copper cabling targeted by metal thieves, which prevents copper cable theft, as well as the costly replacement of stolen copper cabling.
The underlying driver behind this theft surge is the sharply rising demand and price for copper, which hit a record high of $5.60 per pound in July. Copper’s growing use in renewable energy infrastructure and data centers has only added to demand.
Lawmakers in several states are taking action. Denver passed new regulations on scrap materials, while Minnesota now requires copper sellers to be licensed recyclers—a move that reportedly cut copper theft by 50% in that state. Despite these efforts, the article warns that unless similar regulations are enacted more widely, rising thefts can be expected.
A key trigger for these developments is a recently announced 50% tariff on copper by the Trump Administration, which took effect on August 1. The tariff will significantly affect the price of electrical wiring, cabling, and appliances. Between March and May alone, the U.S. imported 541,600 metric tons of refined copper—about 60% of its 2024 copper imports—leading to a rush among shippers to deliver cargo before the tariff’s implementation.
The facilities management sector is particularly impacted. Nearly every HVAC system component is subject to the new tariffs, especially copper and aluminum parts crucial for refrigerant coils and lines. Industry experts predict HVAC unit prices could rise by at least 40% within the next year.
These conditions present complex challenges for facilities managers, who must now navigate rising costs, the risk of material shortages, and increased security threats. Supply chain professionals are urging both consumers and manufacturers to pause significant expenditures until the full financial impact of these tariffs becomes clear. Facilities managers are advised to invest more in security, particularly access control systems, to deter metal theft and enable quick response in the event of a break-in or grounds trespass.
The sharp increase in copper tariffs, combined with high demand and insufficient regulation, has created a situation where copper theft is likely to persist or worsen, forcing operational and financial adjustments across multiple industries. The solar luminaire market will continue to benefit from these trends, especially for projects that don’t have existing electrical infrastructure.
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