On July 28, the China Gold Association released the China Gold Jewellery Market Report 2024 (hereinafter referred to as the "Report") at the 2024 China International Gold Conference.
The report pointed out that in 2023, the consumption of gold, silver and jewelry in the mainland will pick up rapidly. Among them, gold jewellery consumption, as a hot spot for gold, silver and jewellery consumption in mainland China since the epidemic, continues to show great potential and vitality, and the proportion of total gold jewellery consumption in mainland China continues to rise, exceeding 90%, becoming the most important engine to promote the growth of the mainland gold jewellery industry.
According to the report, in 2023, the retail sales of gold, silver and jewellery of units above designated size will reach 331 billion yuan, a year-on-year increase of 13.3%, a record high.
The report specifically mentions that in 2023, the "post-90s" and "post-00s" will become fans of gold jewelry and have firmly become the mainstream consumer group of gold jewelry in mainland China. Moreover, fine jewelry represented by ancient gold jewelry continues to become the favorite gold jewelry consumer product of consumers, which also marks a significant upgrade of the gold jewelry consumption structure in mainland China
In terms of gold jewellery consumption, in 2023, the consumption of gold jewellery in mainland China will be 706.48 tons, a year-on-year increase of 7.97% over 2022.
Among them, the consumption of traditional pure gold jewelry was 372.02 tons, a year-on-year decrease of 5.03% from 2022, accounting for 52.66% of the total annual consumption of gold jewelry; The total retail revenue was 211.698 billion yuan, a year-on-year increase of 5.85% from 2022. The consumption of hard gold jewelry was 73.65 tons, a year-on-year increase of 15.49% from 2022, accounting for 10.42% of the annual consumption of gold jewelry, and the total retail revenue was 62.533 billion yuan, a year-on-year increase of 42% from 2022; The consumption of ancient gold jewelry was 249.39 tons, a year-on-year increase of 37.29% over 2022, accounting for 35.30% of the annual consumption of gold jewelry, and the total retail revenue was 161.867 billion yuan, a year-on-year increase of 66.38% over 2022; The total retail revenue of plain gold jewellery was 9.126 billion yuan, down 6.3% year-on-year from 2022.
In terms of gold jewelry processing, in 2023, the processing volume of gold jewelry in mainland China will reach 718.71 tons (excluding exports), a year-on-year increase of 7.68%.
Among them, the processing volume of traditional pure gold jewelry was 377.05 tons, a year-on-year decrease of 5.06%, accounting for 52.46% of the annual processing volume of gold jewelry; The processing volume of hard gold jewelry was 75.56 tons, a year-on-year increase of 13.98%, accounting for 10.51% of the annual processing volume of gold jewelry; The processing volume of ancient gold jewelry was 252.9 tons, a year-on-year increase of 37.27%, accounting for 35.19% of the annual processing volume of gold jewelry; The amount of gold used in the production and processing of plain K gold jewelry was 13.2 tons, a year-on-year decrease of 33.23%.
In terms of gold buybacks, in 2023, the mainland's gold buybacks will be 521.9 tons, a year-on-year increase of 35.04%, accounting for 29.28% of the mainland's total gold supply. It is worth mentioning that in 2023, the mainland gold repurchase market ushered in explosive growth, and the amount of gold repurchase hit a record record, which not only shows the attractiveness of gold as a traditional hedging asset, but also reflects the high enthusiasm of mainland consumers for gold consumption and investment in 2023.
Looking ahead to 2024, the report proposes that mainland gold jewellery will remain the most attractive product among gold jewellery products. From the perspective of favorable factors, first, the basis for gold jewelry consumption to maintain a high degree of popularity has not changed. The continuous recovery of the economy, the continuous release of people's demand for gold jewelry value preservation, and the consumption of weddings and festivals have provided momentum for gold jewelry consumption. The second is the innovation and creativity of the gold jewelry industry, which brings an internal driving force to the growth of the industry. Third, the purchasing power of young consumer groups has increased, which has stimulated vitality for the growth of gold consumption. As the main force of gold jewelry consumption, young people are more daring to consume, and the improvement of the purchasing power of the younger generation will also contribute to the continuous growth of gold jewelry consumption as the economy continues to rebound steadily.