U.S. gold futures reached an intraday all-time high of $3,534 on Friday morning after the Financial Times reported that President Trump plans to impose tariffs on imports of 1-kilogram and 100-ounce gold bars. The spread between gold futures and spot gold increased to over $100 following the report.
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In a ruling letter dated July 31, the U.S. Customs and Border Protection (CBP) said that 1-kg and 100-ounce gold bars should be classified under a separate customs code that isn’t exempt from tariffs. Trump had previously exempted a majority of U.S. gold imports from tariffs.
Gold Tariffs Deal Double Blow to Switzerland
The new gold tariffs will hit Switzerland particularly hard since the country is the largest global exporter of the metal. In addition, the U.S. imposed a 39% tariff on imported Swiss goods on Thursday, posing a threat to the country’s watchmakers.
Spot gold (XAUUSD) is up by nearly 30% year-to-date on increased safe-haven demand caused by economic uncertainty and trade tensions.
