In typical Trump style, 2025 began with some dramatic action on trade. President Donald Trump unveiled an extensive array of new tariffs—a base level of 10% on everything imported, with some significantly higher rates on particular countries, such as a whopping 34% charge on Chinese products. Expectedly, the choices did not just shake the politicians but sent shudders through the world economy as well. One place experiencing those ripples in a big way is the precious metals market.

Let’s take what’s occurred with gold, silver, and other significant metals since these tariffs were enacted apart

Gold: Safe Haven Once More

Whenever the world economy is shaky, gold glows—this time no exception. Shortly following Trump’s tariff declarations, gold had spiked above $3,000 per ounce, breaking the record high.

Why’s that? 

Because investors adore gold in times of uncertainty. Fears of inflation due to higher-priced imports, as well as the stark uncertainty in international trade in general, made gold the safe-haven choice. Central banks such as China’s and Poland’s have even been stockpiling the yellow stuff, adding fuel to the flames.

Bottom line: gold is popular at present, and it is being regarded as a solid bet in uncertain times.

Silver: Caught in the Crossfire

Silver, however, has had a bumpier journey. Unlike gold, silver’s value is inextricably linked with industrial demand—particularly electronics, solar, and manufacturing. And so the moment investors get concerned about a slowing down of world industrial activity (such as when trade flows are threatened with tariffs), silver is impacted negatively.

That is precisely what occurred. Silver prices recently fell to an 8-week low at about $31.00 per ounce, down about 9% since the tariffs were announced.

Investors are closely monitoring if this drop is continuing, or silver is going to rebound as the dust settles.

Platinum and Palladium: Auto Companies Suffering in the Heat

Then there are platinum and palladium—two metals used as important components in car making, primarily in catalytic converters. The automotive sector is already coping with post-COVID supply chain issues, and now these new levies are complicating things even further. If car manufacturing is slowed down, demand for these metals may follow suit as well.

It’s wait-and-see at this point, but most experts feel that these tariffs will slow down demand unless the sector is able to adjust quickly.

Investor Sentiment: Flight in Safety

You’ve perhaps seen some unrest in the stock market if you’ve been taking an occasional peek lately. Big indices such as the S&P 500 as well as the Dow Jones have suffered since the imposition of the tariffs. Ever since, numerous investors have been redirecting their attention towards safer options—such as gold.

With volatility likely to persist for some time, it would not be surprising if still more capital continues to migrate towards the precious metals sector in the days ahead.

Final Remarks

Trump’s tariffs have certainly shaken things up in 2025—and the precious metals market is taking notice. Gold is on the rise, driven by uncertainty and increasing inflation anxieties. Silver is under pressure as investors worry about decelerating industrial demand.

Platinum and palladium are left in limbo, waiting on the automotive sector’s next step. As either an experienced or new investor, it’s worth monitoring how these economic changes pan out closely. And if you’re looking at purchasing or selling precious metals, get in touch with us at AU Bullion for assistance in navigating the market with certainty. Stay up-to-date, be prepared—and as it pertains to precious metals, go with a company you can rely on like AU Bullion.