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The Trump administration indicates a clear intention not to impose tariffs on imported gold, according to reports.
The Trump administration in the United States has expressed its intention to clearly state that it will not impose tariffs on imported gold. Bloomberg reported this on the 9th based on information from officials.
In response to this news, gold futures in the New York market have reduced their gains, and the global benchmark, the London gold spot price, has fallen. Currently, gold CFDs are trading around $3,399 per ounce.
The cause of the confusion was the announcement by the U.S. Customs and Border Protection (CBP) on the 7th that gold bars in 1-kilogram or 100-ounce standards should be classified under customs codes subject to tariffs.
If this is realized, buyers in the United States will have to purchase imported gold at prices that include added tariffs. Economist Peter Schiff stated that there is a risk of chaos in the world's largest gold bullion market, the COMEX.
If the long positions (buyers) choose to receive the physical gold imported from Switzerland when the futures contract expires, the short positions (sellers) may rush to close their positions (buy back) to avoid paying the 39% tariff, which could lead to a surge in prices.
Even if imports do not take place, all of these bullion will likely be traded at a premium price.
However, if the Trump administration clearly states that tariffs will not be imposed in the future, it is believed that such a situation can be avoided.
According to the announcement by CBP, Switzerland, the world's largest refining hub, has been particularly hard hit. The Swiss Precious Metals Manufacturers Association (MATA) has stated that tariffs on gold bullion negatively impact the flow of physical gold worldwide.
The tokenized gold market is expected to reach a scale of 280 billion yen.
As the price of physical gold rises, the market capitalization of the tokenized gold market is also increasing. Tether Gold (XAUT) and Paxos Gold (PAXG) are nearly splitting the share of the tokenized gold market.
As of the time of writing this article, the market capitalization leader Paxos Gold has reached approximately $960 million (about 142 billion yen). The following Tether Gold stands at about $840 million (about 124 billion yen).
According to CoinMarketCap, the total market capitalization of the tokenized gold market is approximately $1.9 billion (about ¥281 billion).
Tether announced in July that Tether Gold was listed on the Indonesian digital asset exchange Mobee. Mobee offers automatic recurring purchases of Tether Gold and provides an annual interest rate of up to 0.5%.
Tether's CEO Paolo Ardoino commented as follows.
Tether Gold provides users with a way to hold real gold that is safe, low-cost, and highly liquid, eliminating the complexities associated with physical storage.
I am confident that tokenized assets like Tether Gold play a vital role in diversifying digital portfolios and maintaining value as the global economy destabilizes.