China Gold Association: Domestic gold ETF holdings increased by 328% year-on-year in the first quarter, and gold jewelry consumption decreased by 26.85% year-on-year.

Source: China Gold Association

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 holdings of domestic gold exchange-traded funds (ETFs) increased by 23.47 tons, with a year-on-year increase of 327.73%. By the end of March, the holdings of domestic gold ETFs reached 138.21 tons.

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

The China Gold Association analyzed and pointed out that restrained by the high gold price, the consumption demand for gold jewelry continued to be weak. Traditional gold, hard pure gold, and small-gram gold jewelry were in greater demand. Products combining gold with other materials were also quite popular among young consumers. The complex and changeable geopolitical situation and economic uncertainties have further highlighted the hedging and value-preserving function of gold. The investment demand for gold bars and gold coins among the public has increased rapidly and significantly. Affected by the high gold price, the consumption of gold for industrial use showed a slight downward trend.

China increased its gold holdings by 12.75 tons in the first quarter

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

The year-on-year increase in the holdings of domestic gold ETFs was 327.73%

In the first quarter of 2025, the holdings of domestic gold ETFs increased by 23.47 tons, an increase of 5.49 tons compared with the first quarter of 2024, with a year-on-year increase of 327.73%. By the end of March, the holdings of domestic gold ETFs were 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:

The consumption of gold jewelry was 134.531 tons, a year-on-year decrease of 26.85%;

The consumption of gold bars and gold coins was 138.018 tons, a year-on-year increase of 29.81%;

The consumption of gold for industrial and other uses was 17.943 tons, a year-on-year decrease of 3.84%.

The trading volume and transaction value of China's gold market showed a significant growth trend

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

The cumulative trading volume of all gold varieties on the Shanghai Gold Exchange was 16,000 tons on a two-way basis (8,000 tons on a one-way basis), a year-on-year increase of 4.57%, and the transaction value was 10.70 trillion yuan on a two-way basis (5.35 trillion yuan on a one-way basis), a year-on-year increase of 42.85%;

The cumulative trading volume of all gold varieties on the Shanghai Futures Exchange was 55,400 tons on a two-way basis (27,700 tons on a one-way basis), a year-on-year increase of 91.17%, and the transaction value was 30.52 trillion yuan on a two-way basis (15.26 trillion yuan on a one-way basis), a year-on-year increase of 143.69%.

Insurance companies can carry out pilot projects of investing in gold for the purpose of medium- and long-term asset allocation

On February 7th, the National Financial Regulatory Administration issued the "Notice on Carrying out Pilot Projects of Insurance Funds Investing in Gold Business", clarifying that insurance companies can carry out pilot projects of investing in gold for the purpose of medium- and long-term asset allocation.

On March 25th, the Beijing Branch of Industrial and Commercial Bank of China, in conjunction with China Life Insurance Company Limited, completed the first inquiry transaction of insurance funds investing in gold nationwide within the framework of the new policy of the National Financial Regulatory Administration on carrying out pilot projects of insurance funds investing in gold business. This was the first batch of gold transactions of insurance funds entering the market.

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

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%, and the gold consumption was 290.492 tons, a year-on-year decrease of 5.96%

According to the latest statistical data of the China Gold Association: In the first quarter of 2025, the domestic gold production from raw materials was 87.243 tons, an increase of 1.284 tons compared with the first quarter of 2024, a year-on-year increase of 1.49%. Among them, the production of gold from gold mines was 61.772 tons, and the production of gold as a by-product of non-ferrous metals was 25.471 tons. In addition, the gold production from imported raw materials in the first quarter of 2025 was 53.587 tons, a year-on-year increase of 0.68%. If this part of gold production from imported raw materials is added, the total gold production in the country was 140.830 tons, a year-on-year increase of 1.18%.

In the first quarter of 2025, gold enterprises firmly grasped the opportunity brought by the rise in gold prices, further reduced the grade of ore for processing, and made the most of gold mine resources. The gold production increased steadily. Key gold mine projects such as the offshore gold mine, Shaling gold mine, and Xiling gold mine were rapidly promoted. Key gold enterprises actively adjusted the layout of gold production and promoted the construction of intelligent and green mines. China's large-scale gold groups actively promoted the "going global" development strategy, accelerated the pace of gold mergers and acquisitions, and achieved remarkable results. On March 10th, Chifeng Jilong Gold Mining Co., Ltd. was listed on the Main Board of the Hong Kong Stock Exchange, becoming the third domestic gold enterprise listed on both the "A+H" platforms after Zijin Mining Group Co., Ltd. and Shandong Gold Mining Co., Ltd. In the first quarter of 2025, the gold production from overseas mines of China's large-scale gold groups reached 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: The consumption of gold jewelry was 134.531 tons, a year-on-year decrease of 26.85%; the consumption of gold bars and gold coins was 138.018 tons, a year-on-year increase of 29.81%; the consumption of gold for industrial and other uses was 17.943 tons, a year-on-year decrease of 3.84%.

Restrained by the high gold price, the consumption demand for gold jewelry continued to be weak. Traditional gold, hard pure gold, and small-gram gold jewelry were in greater demand. Products combining gold with other materials were also quite popular among young consumers. The complex and changeable geopolitical situation and economic uncertainties have further highlighted the hedging and value-preserving function of gold. The investment demand for gold bars and gold coins among the public has increased rapidly and significantly. Affected by the high gold price, the consumption of gold for industrial use showed a slight downward trend.

In the first quarter of 2025, the trading volume and transaction value of China's gold market showed a significant growth trend. The cumulative trading volume of all gold varieties on the Shanghai Gold Exchange was 16,000 tons on a two-way basis (8,000 tons on a one-way basis), a year-on-year increase of 4.57%, and the transaction value was 10.70 trillion yuan on a two-way basis (5.35 trillion yuan on a one-way basis), a year-on-year increase of 42.85%; the cumulative trading volume of all gold varieties on the Shanghai Futures Exchange was 55,400 tons on a two-way basis (27,700 tons on a one-way basis), a year-on-year increase of 91.17%, and the transaction value was 30.52 trillion yuan on a two-way basis (15.26 trillion yuan on a one-way basis), a year-on-year increase of 143.69%. In the first quarter of 2025, the holdings of domestic gold ETFs increased by 23.47 tons, an increase of 5.49 tons compared with the first quarter of 2024, with a year-on-year increase of 327.73%. By the end of March, the holdings of domestic gold ETFs were 138.21 tons.

On February 7th, the National Financial Regulatory Administration issued the "Notice on Carrying out Pilot Projects of Insurance Funds Investing in Gold Business", clarifying that insurance companies can carry out pilot projects of investing in gold for the purpose of medium- and long-term asset allocation. On March 25th, the Beijing Branch of Industrial and Commercial Bank of China, in conjunction with China Life Insurance Company Limited, completed the first inquiry transaction of insurance funds investing in gold nationwide within the framework of the new policy of the National Financial Regulatory Administration on carrying out pilot projects of insurance funds investing in gold business. This was the first batch of gold transactions of insurance funds entering the market. The further expansion of the investment channels for insurance funds has, to a certain extent, injected new vitality into the development of the gold market.

At the end of March 2025, the fixing price of London spot gold was $3,115.10 per ounce, an increase of 17.79% compared with $2,644.60 per ounce at the beginning of the year. The average price in the first quarter was $2,859.62 per ounce, an increase of 38.16% compared with $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% compared with the opening price of 614.00 yuan per gram at the beginning of the year. The weighted average price in the first quarter was 670.67 yuan per gram, an increase of 37.68% compared with 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. As of the end of March, China's gold reserves were 2,292.33 tons.

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