JINAN/GUIYANG: Gold had once lost its popularity in China as mainstream consumers turned to diamonds and other gems due to changing consumption perceptions.
However, the precious metal has regained its lost glitter as a new gold rush is on, with China’s younger population leading the way.
According to China Gold Association, in 2023, the national gold consumption reached nearly 1,090 tonnes, an increase of 8.78 percent year on year. Of the total, the gold jewelry consumption hit 706.48 tonnes, a year-on-year increase of 7.97 percent, and the old bars and coins saw 299.6 tonnes, up 15.7 percent year on year.
The young population aged between 25 and 34 became the main force of gold consumption, with their proportion up from 16 percent to 59 percent in 2023. In the future, consumers under the age of 25 will become new major gold buyers, said the association.
There are various factors at play behind the growing demand for gold among Chinese youth.
On the one hand, as the China Chic phenomenon resurfaces, jewelers go out of their way to create more fashionable gold jewelry infused with traditional Chinese aesthetics and cultural elements, attracting more and more young consumers.
Young Chinese, on the other hand, see gold as an investment commodity thanks to the relatively bullish performance of gold in the capital market in recent years.
Ahead of the Spring Festival holiday, gold shops in the country have seen a large flow of consumers, many of whom are young people.
Wang Yinghao and Zhao Wenxiu, a couple in their 20s, spent more than 7,000 yuan (around 1,000 U.S. dollars) buying their parents a gold necklace and bracelet from a gold shop in Jinan, capital of east China’s Shandong Province. “Today’s gold jewelry have delicate design styles. Our parents were very happy when I showed them the pictures,” said Zhao. –The Daily Mail-China Daily news exchange item
