Netherlands moves 86 tonnes of gold from New York to London — Is geopolitical risk rising?

According to an official statement from DNB, between March and August 2026, about 86 tons of gold were moved to London, from the total of about 313 tons held in the United States and Canada.

The decision to bring gold back home, according to DNB, is due to rising geopolitical tensions.

Why would the Netherlands feel geopolitical pressure at all?

But what could be the geopolitical tensions for the Netherlands, if any? Wessel de Graaf, a researcher at The Hague Institute for Geopolitics, addresses this in his recent column.

“The Netherlands is essentially caught between two power blocs: the United States and China. As an individual country, we actually have little leverage in these situations. We are seeing power politics playing an increasingly important role, while international law is losing some of its influence. This is particularly problematic for small countries, and I think that certainly applies to the Netherlands as well,” writes Graaf.

At the center of this is the AI sector’s hot property, the microchip. According to NL Times, the Dutch company ASML, the sole manufacturer of lithography machines for complex microchips, is becoming a geopolitical pawn as the U.S. government plans to pressure the Netherlands into banning ASML from selling chip-making machines to China. This puts the Netherlands in a difficult spot, caught between its biggest trading partner and its biggest security ally.

The Greenland factor adds another layer

President Donald Trump has consistently claimed he demands complete ownership of Greenland, which is an autonomous territory belonging to Denmark. In response to these demands, European countries like Denmark, Norway, Sweden, France, Germany, Finland, Great Britain, including the Netherlands, fear potential tariff hikes or other economic repercussions if their concerns are not addressed.

How large are the Dutch gold reserves?

The Dutch gold reserves amount to 612.4 tonnes, worth €72.2 billion as at year-end 2025, and are part of DNB’s official foreign reserves. DNB has its own Cash Centre in Zeist for domestic gold reserves.

For many years, the Dutch gold reserves have been spread over different locations around the world as part of a risk diversification strategy, including DNB’s Cash Centre in Zeist, and central banks in the United Kingdom, Canada, and the United States.

How the relocation was actually carried out

The relocation was largely carried out by first selling approximately 59 tonnes of gold in New York and then buying gold in London that meets international market standards. This saves a lot on shipping costs.

In addition, more than 27 tonnes of gold were physically transferred from the United States and Canada to Zeist, and a similar quantity of gold that meets international market standards was transferred from Zeist to London, avoiding the need to remelt gold bars. This way, DNB moved the gold without physically shipping every bar across the Atlantic. The total size of the gold reserves has remained the same.

Following the recent relocation, the geographical spread of the Dutch gold reserves is now more balanced, with both the United States and Canada each holding 18.5%.

Zeist showed holdings of 30.8% before relocation, unchanged at 30.8% after relocation.

London’s holdings stood at 18.1% before relocation, rising sharply to 32.1% after relocation.

New York’s holdings were 31.3% before relocation, falling to 18.5% after relocation.

Ottawa’s holdings stood at 19.7% before relocation, easing slightly to 18.5% after relocation.

Among the four locations, London saw the steepest increase in holdings, while New York recorded the sharpest decline.

Why London, specifically?

London is recognized globally as a significant hub for physical gold trading. Gold held with the Bank of England must meet modern international trade standards and is regarded as the world’s most easily tradable gold, making it the most readily available for DNB in a crisis situation. The gold reserves held in New York and Ottawa cannot be utilised as quickly and directly in such a situation.

DNB believes keeping a larger share of the gold reserves in London strengthens the function of gold as an anchor of trust. Gold is seen as the ultimate reserve asset because it is ideally suited to hedge extreme systemic risks.

DNB believes it has enhanced the tradability of its gold reserves by moving some holdings from New York and Ottawa to London, thus improving its preparedness for severe crises.

Additionally, DNB thinks that diversification is aided by shifting some of the gold reserves. A fair allocation of reserves among the Netherlands, the United Kingdom, and North America reduces risks and improves availability in times of emergency.

Where does India stand on this?

Closer home, the RBI’s gold stock stood at 880.52 tonnes as of March 31, 2026, and had not moved as of August 31. India brought back approximately 200 metric tons of gold in 2024, with 100 tonnes remitted from the UK in May and an additional 102 tonnes in October.

Geopolitical events do make central banks cautious. The US and its allies blocked around $300 billion worth of Russian foreign exchange assets, including gold, in 2023, which may have sparked concern among governments. This episode is widely seen as one of the triggers that pushed several central banks to reconsider where they keep their gold.

Disclaimer: This article is intended for informational purposes only and should not be construed as investment advice, financial guidance, or a recommendation to buy or sell any asset. Gold prices are subject to market volatility and may rise or fall without notice. It does not constitute investment advice.