(C) WION

BERLIN – A growing chorus of German economists and politicians is demanding the immediate repatriation of the nation’s massive gold reserves currently stored in the United States. This surge in nationalist sentiment follows a series of unpredictable foreign policy maneuvers by U.S. President Donald Trump, which have severely strained the longstanding Transatlantic alliance.

According to a report by The Guardian on January 24, the primary catalyst for this shift is a deepening mistrust of the U.S. Federal Reserve’s reliability as a custodian under the current administration. Germany currently holds the world's second-largest gold reserves, with approximately 1,236 tons—valued at roughly €164 billion ($174 billion)—deposited in the vaults of the Federal Reserve Bank of New York. This accounts for 37% of Germany’s total gold holdings.

The "Greenland Fallout" and Economic Anxiety
The push for repatriation intensified following President Trump’s controversial attempt to purchase Greenland from Denmark. When met with opposition from European allies, including Germany, the Trump administration responded with threats of retaliatory tariffs.

"President Trump is unpredictable and willing to leverage any asset for his 'America First' agenda," said Michael Jaeger, President of the Taxpayers Association of Europe (TAE). "This is why our gold is no longer safe in the Fed's vaults. If provocations continue, there is a real risk that the German Central Bank could lose access to its own assets."

From Fringe to Mainstream
Historically, the "Bring Back Our Gold" movement was a niche campaign led by the far-right Alternative for Germany (AfD) party. However, the rhetoric has now entered the political mainstream.

Katharina Beck, financial spokesperson for the Green Party, argued that national gold should not become a "hostage to geopolitical conflicts."
Ulrike Neyer, an economics professor at the University of Düsseldorf, stated bluntly that the U.S. is "no longer a reliable partner."
Emanuel Mönch, a former research director at the Bundesbank, suggested that repatriation is a necessary step toward "strategic independence" from Washington.
The Government’s Delicate Balancing Act
Despite the mounting pressure, the administration of Chancellor Friedrich Merz remains cautious. Government spokesperson Steffen Cornelius clarified that a mass repatriation is not currently under official consideration. Clemens Fuest, president of the ifo Institute for Economic Research, warned that such a move could be perceived as a hostile act, potentially "adding fuel to the fire" during an already volatile diplomatic period.

Precedent for Asset Weaponization
The concerns in Berlin are not without precedent. The U.S. government has a long history of using its control over the global financial system to exert pressure. Recently, the Trump administration reportedly warned Iraq that it could freeze the country’s oil revenue accounts—held at the New York Fed—if the new Iraqi government included pro-Iranian figures.

For German observers, this serves as a stark reminder: as long as German assets remain on American soil, they remain subject to the political whims of the White House. While Chancellor Merz’s Christian Democratic Union (CDU) officially supports the alliance, internal voices are increasingly suggesting that in the era of Trump, physical possession of gold may be the only true guarantee of economic sovereignty.

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