Gold prices rushed to a record high in early Asian trading on Thursday, benefiting from heightened safe haven demand after U.S. President Donald Trump imposed sweeping trade tariffs.

Trump’s tariffs, which will include universal tariffs and specific duties against at least 18 countries, stand to potentially upend global trade and also run the risk of denting U.S. and global economic growth. 

This sparked a severe risk-off move in broader financial markets, pushing traders into safe havens such as gold and the Japanese yen. Gold also benefited from a decline in the dollar, although broader metal prices all retreated. 

Spot gold hit a record high of $3,165.64 an ounce, while gold futures expiring in June hit a peak of $3,198.40/oz.

Trump imposes sweeping universal, reciprocal tariffs 

Trump on Wednesday evening announced a 10% duty on all U.S. imports, and additional, reciprocal tariffs against major economies which will be equivalent to half of their duties on American goods.

China was by far the worst hit by this move, with total tariffs on the country, since Trump’s inauguration, now coming up to 54%. 

The European Union will see 20% tariffs, while Vietnam, Taiwan, Japan, and India were slapped with tariffs between 24% and 46%. 

Countries with lower duties on U.S. imports were subject to lower tariffs. These include Brazil, Chile, Australia, the UK, and Colombia- all of which will be subject to 10% tariffs. 

The baseline tariffs will take effect from April 5, while Trump’s reciprocal tariffs will begin on April 9.