Switzerland’s precious metals lobby is intensifying its efforts to secure a formal, binding commitment from U.S. President Donald Trump concerning tariffs on gold, a critical export for the Swiss economy. This move follows a period of uncertainty and market volatility triggered by conflicting reports about the imposition of tariffs on gold imports by the United States.
After days of speculation and confusion in the global bullion markets regarding whether gold would be included in the recent wave of U.S. import tariffs, President Trump publicly declared on the social network Truth Social that “Gold will not be subject to tariffs.” This statement provided some relief to markets and Swiss exporters but fell short of the assurance sought by the Swiss gold industry and government officials.
Background: U.S. Tariffs Affecting Swiss Exports
In early August 2025, the Trump administration imposed steep tariffs, up to 39%, on most Swiss goods entering the United States, a key market for Swiss exports such as pharmaceuticals, watches, machinery, and chocolates. These tariffs are among the highest levied on any developed country and significantly exceed those imposed on the European Union and other trading partners. Switzerland’s Federal Council described the situation as a severe threat to its export-driven economy and swiftly moved to negotiate with U.S. officials to mitigate the impact.
Gold, historically exempt from such tariffs, faced potential inclusion after a leaked U.S. Customs document suggested duties would apply to certain sizes of gold bars, sparking panic and a drop in gold prices. The uncertainty around gold tariffs risked significant disruption because Switzerland serves as the world’s largest gold refining hub, processing up to 70% of the global annual gold production. With exports worth over USD 61 billion in the last twelve months—accounting for about 27% of Swiss exports—the gold sector is a vital pillar of the Swiss economy.
Industry and Political Response in Switzerland
The Swiss Association of Manufacturers and Traders in Precious Metals (ASFCMP), led by Christoph Wild, has been vocal about the need for a “formal and binding decision” from the U.S. government to cement trade stability and confidence within the gold sector. Wild emphasized that President Trump’s statement was “an encouraging sign for trade stability,” but only official resolutions can create the certainty the industry requires to plan and operate effectively.
Amid growing frustration, Swiss politicians discuss the gold industry’s role in the ongoing tariff dispute. Some argue the industry should bear part of the economic fallout, while others defend gold as a “very good calling card for Switzerland,” highlighting its critical contribution to the country’s trade surplus and economic strength. Proposals include potential tax or levy schemes on gold exports to offset the tariff impact and calls to reconsider Switzerland’s role as a transit hub for gold, redirecting some trade flows back to countries of origin such as the UK, Brazil, or the Netherlands.
Swiss Government’s Strategic Moves and Negotiations
The Swiss government has been actively engaging with U.S. counterparts to avoid the damaging tariffs, showing willingness to make more attractive offers and continue discussions beyond the initially set deadline. The Federal Council is committed to ensuring Swiss exporters receive equitable trade treatment, mindful of Switzerland’s economic reliance on the U.S. market. While no direct countermeasures against the tariffs have been declared yet, the government remains focused on relief measures for affected industries and keeping diplomatic channels open.
Negotiations led by the State Secretariat for Economic Affairs (SECO) aim to reduce the US tariffs’ burden, especially on precious metals. Despite a failed high-level Swiss delegation visit to Washington, discussions continue at a technical level to find solutions that preserve the historic trade relationship between the two nations.
Economic and Market Implications
The tariff threat has already sent ripples through the Swiss economy. Analysts estimate that thousands of jobs could be at risk in sectors heavily exposed to U.S. imports, including watches, machinery, and precision instruments. The pharmaceutical sector, a significant export earner to the U.S. and exempt from tariffs, remains a bright spot amid the trade tensions.
For the global gold market, clarity on tariffs is critical to maintaining price stability. Gold prices saw significant fluctuations during the period of uncertainty, underscoring the sector’s sensitivity to trade policy announcements. Trump’s pledge not to impose tariffs on gold helped calm panic selling and offered a window of stability for investors and producers alike.
Demand for Certainty Amid Trade Disputes
Switzerland’s demand for a binding commitment from President Trump reflects the deep economic and strategic importance of gold in its trade portfolio and the broader ramifications of U.S. trade policies. Christoph Wild’s call for formal assurance underscores the fragile state of global trade relations and the need for transparent, predictable rules in commodity markets to safeguard economies reliant on exports.
As the Swiss government continues to navigate the complex U.S. tariff landscape, industry stakeholders and policymakers alike push for clear, enforceable agreements that will ensure the stability and prosperity of one of the world’s foremost gold-refining nations.
