Trump asserts no plans for tariffs on gold, dismissing speculation spurred by a US Customs and Border Patrol decision.
In a recent turn of events, President Donald Trump has clarified that gold imports will not face tariffs under his administration's trade policy. This announcement effectively overrules an earlier U.S. Customs and Border Patrol (CBP) ruling that imposed a 39% tariff on certain imported gold bars from Switzerland.
The news of potential tariffs on gold had caused unease among dealers, refiners, and institutional investors, leading to disruptions such as Swiss refineries halting shipments and some volatility in gold markets. However, Trump's explicit directive ensures that gold imports into the U.S. are currently exempt from tariffs.
The White House has affirmed plans to issue an executive order to clarify and correct misinformation surrounding tariffs on gold and related specialty products. This move is a reflection of gold's special status as a strategic asset, as it is rarely targeted by protectionist measures.
Following Trump's statement, gold futures and spot prices showed modest fluctuation, consistent with expectations of a swift resolution. The U.S. December gold futures even reached an all-time high of $3,534.10 per ounce following the tariff announcement.
It is important to note that the contents of the upcoming executive order are not yet known. Reports about the Trump administration placing tariffs on U.S. gold imports were called "misinformation" by the White House. Trump clarified his stance on gold tariffs through a post on his Truth Social platform, introducing it as "A Statement from Donald J. Trump, President of the United States of America."
Despite the widening U.S. Budget Deficit by $109B from a year ago, despite an influx of tariff revenue, the tariff decision on gold has injected uncertainty into the bullion market. The tariff warrants close attention for its immediate market impact, as it has the potential to impact future monetary policy.
As the situation unfolds, industry leaders such as Quentin Mai, CEO of West Point Gold, continue to discuss gold prices and the strength of the U.S. Dollar on financial platforms like 'Varney & Co.'. We will keep you updated on any further developments regarding gold tariffs and their impact on the market.
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