The first casualty of a hefty 39% tariff on Swiss imports into the United States may be gold refining, after it emerged that certain gold bars could face the levy.
Gold bars are reintroduced to the market for jewellery, watchmaking, industry and tech products, as well as the banking sector – Reuters
The price of gold on the US futures market hit a record high Friday after US customs authorities clarified that gold bars weighing either one kilogram or 100 ounces (2.8 kilograms) should be classified as subject to so-called reciprocal tariffs.
The July 31 letter was first reported late Thursday by the Financial Times.
But a White House official told AFP that President Donald Trump‘s administration plans to “issue an executive order in the near future clarifying misinformation about the tariffing of gold bars and other specialty products”.
It was not immediately clear if this meant the products would therefore be exempt from Trump’s “reciprocal” levies, imposed to address what Washington deems as unfair trade deficits.
One-kilo gold bars are the most traded type of bullion on Comex, the world’s biggest futures market, and Switzerland is a major supplier of the bars on the physical market.
Expectations had been widespread that gold bars would be classified under a different customs code that excludes them from Trump’s countrywide tariffs. Higher “reciprocal” rates took effect Thursday on dozens of economies.
Swiss officials travelled to Washington this week to seek a deal similar to the European Union, whose products now face a 15% rate. But they came back empty handed. The customs update increased pressure on the Swiss government as gold trading weighs heavily on its trade balance.
John Plassard, head of investment strategy at Cite Gestion, expects some of the gold refining business would likely flow to other industry centres such as Antwerp. Gold bars produced in the Belgian city Antwerp face a 15% US tariff applied to EU goods.
Switzerland is home to four of the world’s largest gold refineries, the largest being Valcambi in Balerna, in the Italian-speaking part of the country.
They import unrefined gold coming from mines, recycled jewellery or lower-purity bars to be recast into high-quality bars, making Switzerland a hub for the global gold trade.
These bars are then reintroduced to the market for jewellery, watchmaking, industry and tech products, as well as the banking sector and for use as central bank reserves.
According to a Swiss Federal Customs Administration report, the country imported 2,372 tonnes of gold in 2023 and re-exported 1,564 tonnes.
The value of these exports approached 88 billion Swiss francs ($109 billion at current rates), with the main buyers being China at 25.1 billion francs and India at 13.1 billion francs.
Including other precious metals like silver and palladium, the sector accounts for 1,500 direct jobs in the country and 1,000 indirect jobs, according to the Swiss association of manufacturers and traders of precious metals.
In 2023, Switzerland accounted for 34% of the total refined gold worldwide, according to the State Secretariat for Economic Affairs (SECO).
Swiss gold exports to the United States soared to 11 billion Swiss francs last year, nearly doubling from 6.1 billion in 2023. They then skyrocketed in the first half of 2025, reaching 39.2 billion francs, compared to nearly 1.7 billion in the first half of 2024, according to data Swiss customs provided to AFP.
Nearly all of the gold, 37.6 billion francs’ worth, was exported in the first quarter of 2025. Shipments then plummeted sharply to roughly 1.6 billion francs in the second quarter.
Swiss President Karin Keller-Sutter on Thursday strongly disagreed with how Trump assessed the US trade deficit with Switzerland, and thus the high tariff imposed. She said the rise in gold exports in 2024 had led to the increase in the deficit.
Swiss newspaper Le Temps noted Tuesday that to calculate customs duties on Switzerland “the White House seems to have relied exclusively on 2024 data, “which was “an atypical year”.
Swiss gold exports to the United States skyrocketed in November, when Trump won the presidential election, triggering a surge in “safe haven” investments such as gold, it said.
Rebag’s Clair report, which studies the value retention of bags on the resale firm’s platform, said Hermès has reclaimed the top position in 2025, reaching an average 138% value retention—a 38% year-over-year increase.
Rebag
The New York-based Rebag’s report also said that a ten-year analysis of Birkin data shows resale values have surged 92% since 2015, outpacing Hermès’ own retail price growth of 43%.
Behind Hermès, Goyard logged 132% retention in 2025, up 28% from 2024; The Row recorded 97% value retention, while Miu Miu climbed to 104% average retention, according to the report.
In fine jewellery, Van Cleef & Arpels extended its lead, with 112% retention led by the Sweet Alhambra collection, while in the watches category, Rolex remained steady at 104%, with standout models like the Submariner Hulk reaching 244% of their original retail price. Comparatively, Cartier witnessed 87% retention.
Louis Vuitton x Takashi Murakami‘s return boosted search demand and pushed top styles above 130% resale value, the report added, while renewed interest in Balenciaga‘s Le City, Celine‘s Phantom, and Chloé‘s Paddington saw an increased demand for early-2000s bags.
Rebag’s 2025 Clair Report, which analyses millions of data points across the primary and secondary markets to reveal the brands, styles, and investment opportunities shaping the luxury landscape, said that global tariff shifts and changing consumer behaviours have made 2025 a “defining year for luxury resale.”
“Higher primary prices pushed more consumers to the secondary market, reaffirming its stability. The 2025 Clair Report highlights the brands demonstrating lasting long-term value,” said Charles Gorra, CEO and founder of Rebag.
In June, Rebag reported its launch on Luxury Stores at Amazon, bringing its pre-loved designer handbags, jewelry, watches, and more to the platform.
Lululemon Athletica’s CEO shake-up has put the spotlight on the once-dominant yoga pants maker’s race to wrest back younger and affluent shoppers from rivals and revive its sagging U.S. business.
Calvin McDonald – Reuters
Its shares, which have halved in value this year, rose 10% on Friday following the departure of CEO Calvin McDonald after about seven years in the role.
An athleisure pioneer known for its premium yoga apparel, Lululemon lost ground as newer rivals such as Alo Yoga and Vuori weaned away its core younger shoppers with trendier styles, marketing campaigns and celebrity partnerships.
Meanwhile, established players like Nike and Gap also entered the market with lower-priced styles.
Lululemon “caught the perfect wave in fashion, becoming the trend for the last five years,” said Brian Mulberry, senior client portfolio manager at Zacks Investment Management.
“But as its core customers graduate college and face tighter budgets, affordability is a challenge and a new outfit at Lulu can cost as much as a month’s groceries.”
Lululemon sells a range of yoga, running and training apparel such as Align yoga pants priced at $108 and men’s joggers at $128.
The slow refresh to core styles and product missteps, such as its decision to pull its $98 “Breezethrough” leggings from shelves last year, have led to heavy discounting to clear aged inventory.
At an earnings call late on Thursday, company executives said the board is “focused on a leader with experience and growth and transformation”.
“It’s understandable to think that a strategic overhaul with a new leader at the helm will be a positive, but this opens the door to more questions as to what direction the board will go with a replacement,” said Jay Woods, chief market strategist at Freedom Capital Markets.
Lululemon is the latest global consumer company facing leadership churn as macroeconomic uncertainty fuels increasingly divergent spending patterns.
Lululemon is making efforts to speed up product development, launch fresh styles and drive company-wide efficiencies to offset cost inflation and protect margins.
The company beat third-quarter results, lifted by strong China sales, but issued a weaker-than-expected holiday forecast as higher promotions and increased spending on marketing weigh on margins.
Founder Chip Wilson, who is also Lululemon’s largest independent shareholder, in a statement on Friday slammed the board for “poor succession planning” and value erosion.
He called for an urgent CEO search led by new, independent directors with deep company knowledge to restore a product-first focus. Lululemon did not immediately respond to a Reuters request for comment on Wilson’s statement.
The company’s forward price-to-earnings multiple, a common benchmark for valuing stocks, is 14.66, compared to 31.26 for Nike and Abercrombie & Fitch‘s ratio of 10.8, according to LSEG data.
“The main challenge I foresee for the new leadership is not how consumers see Lulu, but how does it see itself?” said Mulberry.
Ferragamo appoints Alberto Tomba as a brand ambassador. The collaboration with the Italian skiing legend celebrates values shared by the Florentine fashion house: dedication, perseverance, resilience and attention to detail.
Alberto Tomba
Born in 1966, Tomba is the quintessential emblem of an Italy that invests in talent, commitment and the ability to push beyond one’s limits. His career is marked by major international successes, including three Olympic gold medals and two silver medals, two World Championship gold medals and two bronze medals, and 50 World Cup victories.
The Bologna-born skier is also the only athlete to have won races in 11 consecutive seasons (1987-1998) and to have claimed four World Cup discipline titles in giant slalom and four in slalom.
“Tomba’s sporting journey perfectly reflects Ferragamo’s philosophy: every achievement comes from sacrifice, every result from dedication. We share with him a deep sense of authenticity and a love of excellence, values that continue to inspire our daily work,” said Leonardo Ferragamo.
“Being chosen by Ferragamo is an honour,” Tomba commented. “I have always believed that sport and style share a common language: that of passion, rigour and the desire to improve every day. Representing a brand that embodies all this, and that brings Italian beauty and craftsmanship to the world, is a source of great pride.”
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Politics8 years ago