U.S. tariffs hit gold refining industry in Switzerland
In a surprising turn of events, President Trump has announced an exemption for gold bars from the tariffs under his administration's proposed trade policy. This decision, made public on August 11, 2025, comes as a relief to investors and the gold market, as it provides a level of stability and predictability in gold trading.
Switzerland, home to four of the world's largest gold refineries, stands to benefit significantly from this exemption. The largest of these refineries, Valcambi in Balerna, has been a key player in the global gold trade. The exemption means that physical gold imports will not face the tariff levies that other goods currently do, setting gold apart as a special category within the tariff framework.
This exemption has important implications for the Swiss economy. In 2023, Swiss gold exports approached 88 billion Swiss francs, with China and India being the main buyers. However, in the second quarter of 2025, Swiss gold exports to the United States plummeted sharply to roughly 1.6 billion francs. The recent exemption could potentially reverse this trend, as Swiss gold exports to the United States soared to 11 billion Swiss francs in 2024, nearly doubling from the previous year.
It is worth noting that the exemption currently applies only to physical gold bars. The status of other gold forms, such as coins, jewelry, and industrial gold, remains pending further regulatory clarification. Other precious metals, such as silver or platinum, have not been mentioned in this exemption and may still face tariffs unless future announcements clarify otherwise.
The Swiss precious metals sector accounts for approximately 2,500 jobs (direct and indirect) in the country. Switzerland is a hub for the global gold trade, importing unrefined gold, recycled jewellery, and lower-purity bars to be recast into high-quality bars. The country is a major supplier of one-kilo gold bars on the physical market.
However, gold bars produced in Antwerp, Belgium face a 15-percent US tariff applied to EU goods. This disparity in treatment has prompted the Swiss government to seek a deal similar to the one the European Union has secured, but their efforts this week in Washington yielded no results.
The White House official has announced that President Trump's administration plans to issue an executive order to clarify the tariffing of gold bars and other specialty products. The details of this order are yet to be revealed, and it remains to be seen if the products will be exempt from Trump's "reciprocal" levies.
In 2023, Switzerland accounted for 34 percent of the total refined gold worldwide. The country imported 2,372 tonnes of gold and re-exported 1,564 tonnes. The price of gold on the US futures market hit a record high on Friday, and one-kilo gold bars are the most traded type of bullion on Comex, the world's biggest futures market.
In summary, the exemption of gold bars from tariffs under President Trump's current administration provides a unique treatment for gold compared to other commodities. This decision reverses earlier uncertainty and could potentially boost Swiss gold exports to the United States, benefiting the Swiss precious metals sector and the broader economy.
- The Swiss precious metals industry, particularly the gold sector, stands to gain financially from the exemption of gold bars from tariffs, as it could lead to an increase in Swiss gold exports to the United States.
- In the end, the exemption of gold bars from tariffs under President Trump's administration provides a special status to this commodity within the tariff framework, differentiating it from other goods and potentially influencing the business and finance landscape of industries involving gold.
