Germans in head-on collision with Trump – They demand the return of their gold to Berlin, echoing the Interwar period

The issue of returning German gold stored in the United States is now being openly raised by a high-ranking political figure in Germany, citing growing geopolitical uncertainty and the unpredictable policies of the Donald Trump administration. The chair of the European Parliament's Security and Defense Committee, Marie-Agnes Strack-Zimmermann, is calling for a significant portion of the gold reserves currently held at the Federal Reserve facilities in New York to be returned to Germany. As she argues, this move has become necessary due to the uncertainty now characterizing the American political scene. Today, approximately 37% of German gold reserves are stored in the USA.

Why German gold is located abroad

Historically, a large part of German gold was moved out of the country after World War II. The Cold War period, the division of Europe, and the need to disperse strategic reserves in allied financial centers led to its storage primarily in the USA, the United Kingdom, and France. For decades, this practice was considered a guarantee of security. New York and London functioned as global financial hubs, allowing for the immediate utilization of gold in international transactions or to support the currency during times of crisis. However, the facts are changing. Geopolitical tension is rising, sanctions and financial restrictions are taking center stage, and states are reassessing the management of their strategic assets.

Gold, sovereignty, and national security

In Europe, the discussion around economic sovereignty is intensifying. Gold is no longer treated merely as a financial asset, but also as a factor of national security. The storage of a large part of reserves outside borders raises questions, especially in light of potential political conflicts or trade disputes. Germany, however, is not starting from scratch. During the period 2013–2017, the Bundesbank implemented a gold repatriation program, transferring more than 600 tons from the USA and France. After the program's completion, about 50% of the reserves are now stored in Frankfurt am Main. Nevertheless, a significant amount still remains abroad, mainly in the United States.

It's not just Germany – The international wave of repatriations

Germany is not the only country whose gold is kept in New York. The Federal Reserve constitutes the largest custodian of foreign gold worldwide, hosting reserves for dozens of countries, including Italy, the Netherlands, Belgium, Switzerland, as well as states in Asia and Latin America. In recent years, however, several countries are changing their strategy. The Netherlands brought back about 120 tons of gold from the USA in 2014. Austria reduced the reserves it held abroad. Hungary, in 2018 and 2021, significantly increased its reserves and moved them almost entirely to Budapest. Poland, in 2019, repatriated more than 100 tons of gold from the United Kingdom, emphasizing that the physical presence of the metal strengthens trust in the financial system and economic independence. Italy and France still maintain significant reserves outside their borders, although in both countries the issue periodically returns to public debate.

More than a symbolic move

Formally, the right of ownership over gold does not depend on the place of storage. In times of crisis or political confrontation, however, access to reserves can become a critical issue. The discussion about the return of German gold goes beyond symbolism. It touches on issues of trust between allies, the resilience of the financial system, and the role of gold in the modern global economy. The final decision rests with the German authorities and the Bundesbank. But the fact that the issue is now being raised openly shows that the era of unconditional trust in the storage of strategic reserves abroad is gradually coming to an end.

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