China's Gold Rush Cools: Q1 Consumption Dips 6% to 290.492 Metric Tons

SHANGHAI (Cryptonesia) – In the first quarter of 2025, China’s gold consumption dropped by 5.96%, totaling 290.492 metric tons compared to the same period last year. This decline can be attributed to elevated gold prices which have dampened consumer interest in purchasing gold jewelry, according to a statement released by the China Gold Association on Monday.

The increase in gold prices has prompted a change in how consumers behave, shifting their preference from traditional gold items like jewelry and ornamental pieces towards investing in gold bars and coins instead.

The demand for gold jewelry dropped by 26.85%, totaling 134,531 tons in the initial three months compared to the same period last year. Conversely, there was a significant increase of 29.81% in the uptake of gold bullion and coins, amounting to 138,018 tons. This surge can be attributed to investors looking towards secure investments due to political unrest and fluctuating economies worldwide.

In the first quarter of 2025, China's domestic gold output increased by 1.49% compared to the previous year, reaching 87.243 tons.

With gold derived from imported resources amounting to 53.587 metric tonnes, China’s overall gold production for the first quarter climbed to 140.830 tons, marking an increase of 1.18% compared to the same period last year.

(Reported by Violet Li and Lewis Jackson; Edited by Christian Schmollinger, Janane Venkatraman, and Sherry Jacob-Phillips)