Trump Clarifies Gold Imports Face No Tariffs After Market Turbulence

President Donald Trump has confirmed that gold imports will not be subject to tariffs, bringing relief to the gold market amid recent volatility. The clarification came after confusion arose when U.S. Customs and Border Protection reportedly misclassified certain gold bars under a customs code that could have triggered tariffs. In response, Trump posted on multiple platforms, including Truth Social and X, declaring, “Gold will not be Tariffed!” [1][2][3]. The White House had faced criticism for the initial miscommunication, which led to sharp market movements and uncertainty among investors.

The announcement helped stabilize the gold market, which had experienced significant price swings in recent days. Earlier in the week, gold futures had surged to record highs above $3,500 per ounce, only to see a sharp decline as traders reacted to the initial confusion. On Monday alone, the front-month gold futures contract fell by 2.1%, marking the largest drop in three months [4]. Analysts noted that the market had already priced in the risk of higher tariffs, and the decision to exempt gold from the new policy was welcomed by investors [5]. The move also aligns with broader economic strategies aimed at preserving the stability of key commodities.

Gold’s performance highlights its role as a safe-haven asset, with investors quickly adjusting positions based on policy developments. The clarification from the Trump administration appears to have restored some confidence in the market, which had seen sharp sell-offs due to uncertainty. The decision to exclude gold from the tariff regime may also reflect a more targeted approach to trade policy, with the administration potentially seeking to avoid broader disruptions to the commodities market [6]. This is particularly significant as gold has risen roughly 30% this year, driven by increased demand from central banks amid ongoing economic and geopolitical uncertainties.

The administration’s swift response underscores the importance of clear communication in managing market expectations. The initial confusion had triggered the largest drop in gold prices in three months, but the timely clarification by Trump and the White House helped prevent further volatility. The market is now shifting focus toward other global developments, including potential progress on a ceasefire in the Ukraine-Russia conflict ahead of an upcoming summit [7]. While the immediate uncertainty has been addressed, the episode serves as a reminder of how sensitive precious metals can be to policy decisions and institutional missteps.

Source:

[1] https://finance.yahoo.com/news/live/trump-tariffs-live-updates-trump-says-gold-will-not-face-a-tariff-nvidia-amd-agree-to-unusual-revenue-deal-200619358.html

[2] https://m.economictimes.com/news/international/global-trends/gold-will-not-be-tariffed-says-trump-amid-chaos-that-shook-the-bullion-markets/articleshow/123242479.cms

[3] https://www.binance.com/en/square/post/28182****44473

[4] https://www.rttnews.com/3564632/gold-plunges-as-traders-await-clarity-on-tariffs-on-us-gold-imports.aspx

[5] https://www.morningstar.com/news/marketwatch/2025081127/gold-price-tumbles-most-in-3-months-on-reports-us-to-clarify-tariff-plan-on-bullion

[6] https://www.tipranks.com/news/nem-k-fnv-gold-stocks-rally-as-president-trump-says-no-tariffs-on-bullion