Trump imposes gold tariffs, hindering a safe haven for investors
In a surprising turn of events, the United States government has imposed a 39% tariff on imported large gold bars (100 ounces or more), causing significant disruption and uncertainty in the bullion market [1]. This policy change, announced in August 2025, has led to gold futures hitting an all-time high, signaling a sharp impact on gold prices and trading dynamics.
The tariff, aimed at large gold bars, has indirectly affected gold investors and dealers in the U.S., inducing volatility and raising costs. This disruption has made gold less attractive as an investment, particularly for those engaging in physical bullion trading at larger scales.
In response, the appeal of alternative investment options like cryptocurrencies has surged. Cryptocurrencies, often viewed as a digital store of value that is not subject to government-imposed tariffs or direct trade restrictions, gain appeal when traditional safe-haven assets like gold face new barriers, higher costs, and market uncertainty.
This development has influenced investor behavior by reducing the relative convenience and cost-effectiveness of gold investment, potentially pushing some investors toward cryptocurrencies as an alternative store of value or hedge against market disruptions.
Meanwhile, the US and Japan are experiencing issues with the implementation of their trade agreement, including overpaid tariffs and incorrect orders from former President Donald Trump. New US tariffs of 15% on most goods have been imposed on Japan and the EU, but the tariff for the German automotive industry has not yet been reduced to 15%.
Switzerland, a major player in the global gold trade, exports a significant portion of gold to the US. In the 12 months up to June, Switzerland exported gold worth $61.5 billion to the US. If the US's recent 39% tariff on imported Swiss goods applies to gold, this would result in duties of $24 billion.
The tariffs on gold imports could be seen as an attempt to rewrite the international rules on what constitutes a neutral asset. Analyst Stephen Innes of SPI Asset Management considers the tariffs on gold imports as a "tectonic shift" on the gold market. Innes views Trump's directive as "another brushstroke in Trump's America First painting."
The tariffs are being imposed on gold bars weighing one kilogram and 100 ounces. By targeting these specific sizes, the government is not only seeking to collect duties, but also "rewriting the international rules on what constitutes a neutral asset and what doesn't."
The recent trade policy towards Brazil is also seen as a violation of WTO commitments, linked to internal political issues. The World Trade Organization (WTO) has been involved by Brazil due to new 50% US import tariffs.
In the context of these tariffs, alternative products like stablecoins may become more interesting to investors seeking a neutral asset. The US's tariffs on one-kilogram gold bars could make these digital assets more appealing as a hedge against market disruptions and as a store of value that is not subject to government-imposed tariffs.
[1] Source: SPI Asset Management Press Release, August 2025.
- The increased cost and volatility in the gold market, caused by the 39% tariff on large gold bars, has promoted investors to seek alternative investments, specifically cryptocurrencies and stablecoins.
- As gold faces government-imposed tariffs, higher costs, and market uncertainty, digital assets like cryptocurrencies and stablecoins, which are not subject to such tariffs, have gained popularity as alternatives for investment and as a hedge against market disruptions.
- The tariffs on gold imports could potentially drive more interest in alternative products like stablecoins, as they offer a neutral asset class that is not subject to government-imposed tariffs, providing a potential safer haven for investors during times of market instability.
