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The safety of Germany’s overseas gold reserves—especially those stored in New York—is under fresh scrutiny. With Donald Trump back in the White House, concerns that were once limited to fringe political circles have now moved into the German mainstream.
The Bundesbank, Germany’s central bank, holds 3,352 tonnes of gold. It’s the second-largest national stockpile in the world. Roughly one-third of this gold sits in the vaults of the Federal Reserve Bank of New York. That arrangement dates back to the Cold War, when storing gold abroad was seen as a strategic hedge against Soviet aggression.
Calls for repatriation grow louder
Until recently, it was mainly the far-right Alternative for Germany (AfD) party that called for the gold to be brought back. Now, other political voices are echoing the demand.Michael Jaeger, vice-president of Germany's Taxpayers Federation, told Reuters, “Trump wants to control the Fed, which would also mean controlling the German gold reserves in the U.S. It’s our money, it should be brought back.”
This week, the Federation sent letters to both the Bundesbank and the Finance Ministry urging them to act. Their concern: Trump’s history of unpredictable policy shifts and confrontations with allies, including on trade and security matters.
A shift in tone from the Centre
Markus Ferber, a member of the European Parliament representing the ruling Christian Democrats, has also voiced concern.“The United States was no longer the reliable partner it used to be,” he said. “Trump is erratic and one cannot rule out that someday he will come up with creative ideas how to treat foreign gold reserves. The Bundesbank’s policy for gold reserves has to reflect the new geopolitical realities.”
Germany’s national broadcasters ZDF and ARD have both aired reports asking whether the country’s gold is still safe in New York. Such reports suggest that public interest in the issue is deepening.
Bundesbank maintains its position
Despite the political noise, the Bundesbank insists it has no reason to doubt the security of its gold in New York.“We have no doubt that in the New York Fed we have a trustworthy, reliable partner for the storage of our gold holdings,” it said in a written response to Reuters. The Finance Ministry, when contacted, referred enquiries back to the Bundesbank and reiterated the central bank’s independence.
Still, any sign that Germany might be considering moving its gold could be seen as a signal of mistrust in the Federal Reserve. That would have broader implications for the financial partnership between the two countries.
The European Central Bank last week publicly backed the Fed, calling it a dependable institution. Yet Trump’s ongoing criticism of Fed Chair Jerome Powell, whose term ends next year, has raised wider concerns about the central bank’s future independence.
Long history, deep ties, and new uncertainty
Germany’s gold hoard is a legacy of its post-war export boom in the 1950s and 60s. During the Cold War, storing gold in New York was considered a way to keep it out of Soviet reach. It also served to strengthen Germany’s defence ties with the U.S., which still maintains dozens of military bases on German soil.Between 2014 and 2017, the Bundesbank brought 300 tonnes of gold back from New York. The move was described at the time as an effort to “build confidence at home.”
Peter Boehringer, now an AfD lawmaker and a key voice behind that earlier campaign, said public sentiment has finally caught up with his concerns.
“When I started asking about the gold, I was dismissed as a conspiracy theorist,” Boehringer said. “Today, after Trump, my concerns are shared widely.”
Security shifts spark fresh calculations
Russia’s invasion of Ukraine has further complicated Germany’s strategic thinking. Though the Soviet threat that justified the original New York storage has long faded, today’s environment is hardly more stable.Ferber sees this as a reason to rethink not just U.S. storage, but the broader strategy. “For gold reserves, diversification is key. Having all eggs in too few baskets is never advisable,” he said. He didn’t suggest new storage locations, but the message was clear.
Currently, Germany’s gold is split between the Bundesbank in Frankfurt, the New York Fed, and the Bank of England in London.
Not everyone believes there’s a problem. Fritz Guentzler, a spokesperson for the Christian Democrats in the Bundestag, said, “I have no reason to mistrust the Fed.” Still, he added, the Bundesbank should keep “regularly inspecting the stocks” held overseas.
The Bundesbank says it does just that. Over the years, it has physically inspected 13% of its gold in New York and continues to conduct regular sample tests.
Yet, in a world where global alliances are shifting and political leadership is less predictable, even trusted arrangements may face new scrutiny. And for Germany, few things symbolise national wealth and trust quite like gold.
