America’s Global Influence Erodes as Allies Diversify Finance and Defense

Europe and Asia are recalibrating their reliance on the United States.

America’s global influence under scrutiny

Recent moves by sovereign wealth funds and national treasuries signal a shift. The Netherlands transferred 86 tons of gold from U.S. depositories to Canada, citing “extreme systemic risks.” France has already emptied its New York vaults, and Germany is debating a similar exodus. Norway’s sovereign fund, the world’s largest, plans to trim its U.S. Treasury holdings after market turbulence.

“We must diversify to protect national assets,” a senior Norwegian official told Reuters.

In defense, European capitals are accelerating domestic weapons programs to curb dependence on American arms. The EU’s summer tech package seeks to limit Amazon, Google and Microsoft from winning sensitive cloud contracts, a move reported by Bloomberg. Meanwhile, the pipeline of foreign students to U.S. campuses fell ↓ 10% in the latest admissions round, a drop amplified by tighter visa rules. International travel to the United States slipped ↓ 5.5% in 2025, the first post‑pandemic decline, with Canada’s outbound trips down 25% last year and German departures off by a similar margin since 2017. A Pew poll shows only Hungary and Poland still view the United States as a reliable partner; all ten surveyed nations expressed low confidence in former President Trump’s judgment on world affairs. Yet the dollar remains the pre‑eminent reserve currency, NATO allies still count on American firepower, and U.S. campuses continue to attract the world’s brightest minds. The next flashpoints will be Germany, Italy and Spain, where domestic debates over gold storage could reshape the balance of power.