The US government has started levying tariffs on 1-kilo and 100-ounce gold bars, a decision that could upend long-standing trade routes and disrupt the flow of bullion from Switzerland to the United States, as reported by the Financial Times.
According to a 31 July ruling from US Customs and Border Protection (CBP), these gold bars will now fall under classification code 7108.13.5500, which is subject to tariffs. That reclassification shuts the door on previous expectations that such imports would be exempt under code 7108.12.10, the only category of gold bars currently not taxed.
The change is expected to hit Switzerland the hardest. It’s the world’s top gold refining hub and a major supplier of bullion to the US.
"The prevailing view was that precious metals remelted by Swiss refineries and exported to the US could be shipped tariff-free," said Christoph Wild, president of the Swiss Association of Manufacturers and Traders of Precious Metals. "However the custom code classification for different gold products is not always precise."
Switzerland exported $61.5bn of gold to the US in the 12 months ending in June. This would be subject to a further $24bn in levies under Switzerland’s 39% tariff rate, which came into effect on Thursday, according to the FT.
Industry sources told the paper that some Swiss refineries have since suspended or reduced shipments to the US while seeking legal clarity on product classifications.
Wild said the tariff represents “another blow” to Switzerland’s trade with the US, and would make it difficult to meet demand for the yellow metal.
The kilo bar is a key unit traded on New York’s COMEX exchange, which is the world’s largest gold futures market and holds the bulk of Switzerland’s bullion exports to the US. Meanwhile, the London markets typically deal in 400-ounce bars.
The tariff decision comes as gold prices have climbed 27% in 2025, driven by inflation concerns, rising government debt and a weaker US dollar.
The news triggered a jump in futures prices. As Asian markets opened Friday, the premium for gold contracts on Comex soared. December delivery contracts climbed to over $100 an ounce above London’s spot price, a sign of growing uncertainty and demand imbalances. Futures for bullion in New York also jumped to a record high.
Earlier this year, gold traders had already scrambled to build up US stockpiles ahead of Donald Trump’s so-called “liberation day” tariffs. That rush temporarily drained London’s supply and raised fears of a repeat disruption.
This latest CBP ruling adds another layer of pressure.
Reproduction, in whole or in part, is authorized as long as it includes all the text hyperlinks and a link back to the original source.
The information contained in this article is for information purposes only and does not constitute investment advice or a recommendation to buy or sell.
