NOT redownload all Music

I have a new iMac - and have now all my Music in an external drive (before I had it in Macintosh HD2 in the "old" Mac" --- the new iMac has an internal SSD but I don't want to use it for the "bulk" data)

I copied the iTunes folder where the Libray (.itl) is etc to the new iMac Music Folder i.e. Lib is in SSD

I copied the Music Files (iTunes Media) to an external drive

I updated the preferences.

So all is ok, I see the Music, I see the Play lists etc... BUT the Music shows up as NOT downloaded...

When I click on the "cloud icon" it downloads it, but then it will be duplicated in the disk...

How do I tell iTunes I have a version already and do not want to download it again? I do not want to redownload GBs andGBs of music

(yes I have done File->Library->Update Music Cloud)

Many thanks

Luis