HPE Concentrat Tembaga Down, Ministry Of Trade: Influenced By The Dynamics Of Gold Prices

JAKARTA - The Ministry of Trade (Kemendag) said the price of the copper concentrate export benchmark (HPE) in the second period of July 2025 fell, because it was influenced by the dynamics of metal prices as part of the copper concentrate, especially gold.

In the second period of July 2025, the price of the export benchmark (HPE) for the copper concentrate was slightly corrected by 0.01 percent compared to the first period of July 2025, which was 4,683.84 US dollars per ton from 4,684.41 US dollars per ton.

The determination of this HPE is contained in the Decree of the Minister of Trade (Kepmendag) Number 1640 of 2025 concerning Export Patokan Prices on Mining Products Subjected to Outcome Features dated July 11, 2025 and valid for the period 15 to 31 July 2025.

Acting Director General of Foreign Trade of the Ministry of Trade, Isy Karim, explained that the demand for gold prices has decreased due to strengthening the United States dollar and easing geopolitical tensions.

"Although the price of pure copper followed by metal rose by 1.3 percent and silver rose 0.1 percent, the overall copper concentrate was slightly depressed because the price of gold followed by metal fell by 1.1 percent. This condition contributed significantly to HPE calculations," said Isy in an official statement, Tuesday, July 15.

According to Isy, this major metal-metal price change reflects the complex global market dynamics and is affected by various factors.

"Among the existing factors, namely fluctuations in global demand, decreased stock due to production disruptions in major producing countries, as well as developments in geopolitical situations," he said.

Isy said HPE was based on technical input from the Ministry of Energy and Mineral Resources, and referred to international market price data, namely the London Metal Exchange (LME) for copper prices and the London Bullion Market Association (LBMA) for gold and silver prices.

"The determination of HPE as a reference in calculating output duties (BK) is carried out regularly and transparently to provide certainty for business actors in the mining sector," said Isy.

Furthermore, Isy conveyed, the process of determining HPE involved coordination between ministries, including the Coordinating Ministry for Economic Affairs, the Ministry of Trade, the Ministry of Energy and Mineral Resources, the Ministry of Finance, and the Ministry of Industry.

"This is to ensure that the established HPE reflects the situation and dynamics of the global market objectively," he said.