Imposition of 39% export rate described as ‘another blow’ to Switzerland’s world-leading refining industry
The price of gold futures have soared to a record high after it was reported that the US would put tariffs on imports of 1kg bars in a further trade blow to Switzerland, which dominates the world’s refining industry.
Swiss exports to the US were hit by a crippling 39% tariff on Thursday after the country’s president returned empty-handed from a last-minute dash to Washington in an attempt to get the rate, among the highest imposed by Donald Trump, lowered.
It may be intentional.
A strong currency is good for imports but awful for exports.
A weaker currency is awful for imports and good for exports which Trump('s economic advisors) want.
China in particular is actively keeping its currency weak to ensure continuous exports. There’s a reason it is at its weakest point since 2007 compared to USD and EUR:
EUR: https://www.ecb.europa.eu/stats/policy_and_exchange_rates/euro_reference_exchange_rates/html/eurofxref-graph-cny.en.html
USD - haven’t found a decent official source