Gold price explosion: How Switzerland benefits from global precious metal hunger!

Gold price explosion: How Switzerland benefits from global precious metal hunger!

Vienna, Österreich - On March 30, 2025, the gold price reached a historic all-time high of $ 3,082 (approx. 2,858 euros). This increase of almost two percent last week is due to geopolitical tensions and economic uncertainty, which are reflected in the global markets. Switzerland benefits from this development to a considerable extent, since it is considered the globally recognized hub for precious metal processing, although it itself does not have any significant gold deposits. The Swiss borders pass up to two thirds of the gold-traded gold, and four of the seven largest refineries in the world, including Metalor, Argor-Heraeus, MKS Pamp and Valcambi, are located here.

The current situation is also shaped by the high demand for Swiss gold in the United States, especially after the announcement of new punitive tariffs to European imports. American investors are looking for refuge in gold, which creates a demand that exceeds the records of the 2008 financial crisis and the Covid 19 pandemic. The continuous increase in the gold price since 2000 reflects a long -term trend that is strengthened by constant geopolitical uncertainties.

geopolitical factors and their effects

gold has always been considered a safe haven in times of crisis. In the past, geopolitical events such as wars, economic sanctions and political unrest have significantly increased the demand for gold. For example, the gold price during the Arab spring rose by 30 percent between 2010 and 2012, which illustrates the direct influence of such unstable situations on the market. Historically, gold kept its value or even increased in times of crisis, which makes it a popular investment option.

Current conflicts, such as the Ukraine conflict, have strengthened uncertainty in the markets and led to a new gold rush, especially in the United States. In the past two years, central banks have bought large quantities of gold worldwide, which further strengthens the role of the precious metal in the global financial regulations. Analysts see the uncertainty and geopolitical tensions as key factors that could continue to raise the gold price in the near future.

Switzerland: A center with challenges

Despite its strong position in gold trade, Switzerland is also under pressure. Critics often indicate the problematic origin of the gold that comes to Switzerland, often from questionable sources. Current legal regulations require only the disclosure of the last seller, but not the entire supply chain. In this context, the pressure for stricter duties grows to reduce corruption and human rights violations. For example, the refinery Valcambi Gold from Dubai, which is viewed critically, because Dubai is considered an envelope for illegal gold.

The international community attends these developments carefully, while initiatives such as Swiss Better are trying to support small mines to reduce the negative effects of gold mining. A reform of the precious metal control law was decided by the National Council in March 2025 and is now at the Council of States, which addresses Switzerland's responsibility in global gold trade.