Donald Trump announces favorable news for gold
Donald Trump stated that gold imports will avoid additional tariffs, following days of uncertainty about whether recent…
US President Donald Trump announced on Monday that gold imports will not face additional tariffs, clarifying confusion that arose over recent tariff hikes on certain gold bars and the potential disruption to global trade of the precious metal.
His statement followed a letter from US customs authorities declaring that gold bars weighing one kilogram and 100 ounces (2.8 kilos) should be subject to duties.
Trump declared on his Truth Social platform, “Gold will not be Tariffed!” without offering further details.
Record high
The letter, which was made public last week and dated July 31, was first reported on by the Financial Times, sending the price of gold on the US futures market to a record high.
But a White House official told AFP on Friday that the Trump administration plans to “issue an executive order shortly clarifying misinformation about the tariffing of gold bars and other specialty products.”
On Friday, gold for December delivery reached a record high on Comex, the world’s largest futures market.
Traders worry whether gold products will qualify for exemptions from Trump’s “reciprocal” tariffs, which affect goods from dozens of countries, including Switzerland, where the levy reaches 39 percent.
The Financial Times reported that one-kilo bars, the most commonly traded form on Comex, make up the majority of Switzerland’s bullion exports to the US.
US customs authorities issued a ruling letter, typically used to clarify trade policy, that surprised many, as they expected gold bars to be classified under a different customs code exempting them from Trump’s nationwide tariffs.
Gold, seen as a safe haven investment, has already reached record highs this year on tariff worries and geopolitical unrest.