Gold price hits record after Trump nixes tariff

The gold price hit a new high on Monday as the U.S. implemented a presidential order exempting key minerals including gold bullion, graphite, tungsten and uranium from tariffs.

The White House also added nickel chemicals and metal products, tin and molybdenum ores and concentrates, and zinc powder to its exemption list, BMO Capital Markets said on Monday. While no additional exemptions were added for silver, a catch-all for “rectangular precious metal” may cover silver in bar form, the bank said in a note. 

“Silver is unlikely to be a tariff target of the administration,” BMO said. “Any confusion will be met with further additions.”  

The spot price of old hit a new high of $3,645 per oz. on Monday before easing about $10 an oz. in afternoon trading. Silver rose to a new record since 2012 at around $41.65 an oz. this morning before declining about 30¢ an ounce. 

Other levies

The executive order signed Friday also imposes new levies on certain silicone products, resin, and aluminum hydroxide, while streamlining the process for future tariff exemptions tied to trade agreements.

Under the new framework, the U.S. Trade Representative and the Commerce Department will now be empowered to implement tariff adjustments embedded in agreements with countries such as the European Union, Japan, and South Korea—removing the need for the president to personally issue additional executive orders each time.

Tungsten supply

The United States has not mined tungsten domestically since 2015, and more than 80% of global supply comes from China. Uranium and natural graphite are likewise heavily import-dependent, with limited or no domestic output.

Privately-held Patriot Critical Minerals’ early-stage MAGA tungsten project in Nevada is targeting production within three to five years, pending permitting, financing and development. 

“When you picture an American jet fighter on a critical mission or the latest electric vehicle rolling off a factory line, you may not realize that several of the key materials driving these technologies, including tungsten, come from halfway across the world,” Patriot CEO Brodie Sutherland said in a recent article.

Lewis Black, founder and CEO of Almonty Industries, the largest tungsten mining and processing company outside China, echoed the concern.

“Tungsten is a key component in almost the entire U.S. industrial, technology and defence base,” Black said. “The White House recognizes the fragility of the tungsten supply chain, especially now that the Department of Defense has tungsten in its highest supply-risk tier.”