China Gold Association: In the first quarter, domestic gold ETF holdings increased by 328% year-on-year, while gold jewelry consumption decreased by 26.85% year-on-year

On the 28th, the China Gold Association released the domestic gold-related statistical data for the first quarter.

The data shows that in the first quarter, China increased its gold holdings by 12.75 tons, and the domestic gold ETF holdings grew by 23.47 tons, a year-on-year increase of 327.73%. By the end of March, the domestic gold ETF holdings amounted to 138.21 tons.

In the first quarter, China's gold consumption decreased by 5.96% year-on-year, with gold jewelry consumption down by 26.85%, while the consumption of gold bars and coins increased by 29.81%.

The Gold Association analysis pointed out that due to high gold prices, the demand for gold jewelry consumption remains weak, with traditional gold, hard gold, and lightweight gold jewelry being more sought after. Products combining gold with other materials are also popular among young consumers. The complex and changing geopolitical landscape and economic uncertainties have further highlighted gold's role as a safe-haven asset, leading to a rapid and significant increase in the demand for gold bars and coins for investment. Industrial gold demand has shown a slight downward trend due to the impact of high gold prices.

In the first quarter, China increased its gold holdings by 12.75 tons

In the first quarter of 2025, China increased its gold holdings by 12.75 tons, and by the end of March, China's gold reserves stood at 2,292.33 tons.

To be changed to domestic gold ETF holdings increased by 327.73% year-on-year

In the first quarter of 2025, domestic gold ETF holdings increased by 23.47 tons, an increase of 5.49 tons compared to the first quarter of 2024, representing a year-on-year growth of 327.73%. By the end of March, the domestic gold ETF holdings amounted to 138.21 tons.

China's gold consumption decreased by 5.96% year-on-year

In the first quarter of 2025, China's gold consumption was 290.492 tons, a year-on-year decrease of 5.96%. Among them:

Gold jewelry: 134.531 tons, a year-on-year decrease of 26.85%;

Gold bars and coins: 138.018 tons, a year-on-year increase of 29.81%;

Industrial and other gold: 17.943 tons, a year-on-year decrease of 3.84%.

China's gold market transaction volume and transaction value show a significant growth trend

In the first quarter of 2025, China's gold market transaction volume and transaction value showed a significant growth trend.

The total transaction volume of all gold varieties on the Shanghai Gold Exchange reached 16,000 tons (8,000 tons on a single side), a year-on-year increase of 4.57%, with a total transaction value of 10.70 trillion yuan (5.35 trillion yuan on a single side), a year-on-year increase of 42.85%;

The total transaction volume of all gold varieties on the Shanghai Futures Exchange reached 55,400 tons (27,700 tons on a single side), a year-on-year increase of 91.17%, with a total transaction value of 30.52 trillion yuan (15.26 trillion yuan on a single side), a year-on-year increase of 143.69%.

Insurance companies can conduct pilot investment in gold business for medium to long-term asset allocation purposes

On February 7th, the National Financial Regulatory Administration issued a notice on conducting pilot investment in gold business with insurance funds, clarifying that insurance companies can conduct pilot investment in gold business for medium to long-term asset allocation purposes On March 25, the Beijing branch of Industrial and Commercial Bank of China, in conjunction with China Life Insurance Company, completed the country's first insurance fund gold investment inquiry transaction under the new policy framework established by the National Financial Regulatory Administration for pilot projects involving insurance funds investing in gold. This marks the first batch of gold transactions for insurance capital entering the market.

The further expansion of investment channels for insurance funds has injected new vitality into the development of the gold market to some extent.

The following is the original text from the official website:

In the first quarter of 2025, China's gold production was 87.243 tons, a year-on-year increase of 1.49%, while gold consumption was 290.492 tons, a year-on-year decrease of 5.96%.

According to the latest statistics from the China Gold Association: In the first quarter of 2025, domestic raw gold production was 87.243 tons, an increase of 1.284 tons compared to the first quarter of 2024, representing a year-on-year increase of 1.49%. Among this, gold produced from mines was 61.772 tons, and by-products from non-ferrous metals contributed 25.471 tons. Additionally, in the first quarter of 2025, imported raw gold production was 53.587 tons, a year-on-year increase of 0.68%. If this imported raw gold is included, the total national gold production reached 140.830 tons, a year-on-year increase of 1.18%.

In the first quarter of 2025, gold enterprises seized the opportunity brought by rising gold prices, further lowered the selected grade, and maximized the utilization of gold mine resources, resulting in steady growth in gold production. Key gold mining projects such as Haiyu, Shaling, and Xiling advanced rapidly, and major gold enterprises actively adjusted their gold production layouts, promoting the construction of intelligent and green mines. Large gold groups in China are actively promoting the "going out" development strategy, accelerating the pace of gold mergers and acquisitions with significant results. On March 10, Chifeng Jilong Gold Mining Co., Ltd. was listed on the main board of the Hong Kong Stock Exchange, becoming the third domestic gold enterprise to achieve "A+H" dual-platform listing after Zijin Mining and Shandong Gold. In the first quarter of 2025, the overseas mines of large gold groups in China achieved gold production of 18.485 tons, a year-on-year increase of 13.14%.

In the first quarter of 2025, China's gold consumption was 290.492 tons, a year-on-year decrease of 5.96%. Among them: gold jewelry accounted for 134.531 tons, a year-on-year decrease of 26.85%; gold bars and coins accounted for 138.018 tons, a year-on-year increase of 29.81%; industrial and other gold usage was 17.943 tons, a year-on-year decrease of 3.84%.

Due to high gold prices, the demand for gold jewelry consumption remains weak, with traditional gold, hard gold, and lightweight gold jewelry being more sought after. Products combining gold with other materials are also favored by young consumers. The complex and changing geopolitical landscape and economic uncertainties have further highlighted gold's role as a safe-haven asset, leading to a rapid and significant increase in the investment demand for gold bars and coins among the public. Industrial gold usage has shown a slight downward trend due to the impact of high gold prices.

In the first quarter of 2025, the transaction volume and value of China's gold market showed a significant upward trend. The cumulative transaction volume of all gold varieties on the Shanghai Gold Exchange reached 16,000 tons (8,000 tons on a single side), a year-on-year increase of 4.57%, with a cumulative transaction value of 10.70 trillion yuan (5.35 trillion yuan on a single side), a year-on-year increase of 42.85%; the cumulative transaction volume of all gold varieties on the Shanghai Futures Exchange reached 55,400 tons (27,700 tons on a single side), a year-on-year increase of 91.17%, with a cumulative transaction value of 30.52 trillion yuan (15.26 trillion yuan on a single side) A year-on-year increase of 143.69%. In the first quarter of 2025, domestic gold ETF holdings increased by 23.47 tons, a year-on-year increase of 327.73% compared to an increase of 5.49 tons in the first quarter of 2024. By the end of March, domestic gold ETF holdings amounted to 138.21 tons.

On February 7, the National Financial Regulatory Administration issued the "Notice on the Pilot Program for Insurance Funds to Invest in Gold," clarifying that insurance companies can conduct pilot programs for investing in gold for medium- to long-term asset allocation purposes. On March 25, the Beijing branch of Industrial and Commercial Bank of China, in conjunction with China Life Insurance Company, completed the first national insurance fund gold investment inquiry transaction under the new policy framework for the pilot program, marking the first batch of gold transactions for insurance funds entering the market. The further expansion of investment channels for insurance funds has injected new vitality into the development of the gold market to some extent.

By the end of March 2025, the London spot gold fixing price was $3,115.10 per ounce, an increase of 17.79% from the beginning of the year at $2,644.60 per ounce. The average price for the first quarter was $2,859.62 per ounce, up 38.16% compared to $2,069.80 per ounce in the same period of 2024. The closing price of Au9999 gold on the Shanghai Gold Exchange at the end of March was 730.80 yuan per gram, an increase of 19.02% from the opening price of 614.00 yuan per gram at the beginning of the year, with a weighted average price of 670.67 yuan per gram for the first quarter, up 37.68% from 487.11 yuan per gram in the first quarter of 2024.

In the first quarter of 2025, China increased its gold holdings by 12.75 tons, and by the end of March, China's gold reserves stood at 2,292.33 tons.

Source: China Gold Association