According to a report in China Daily on February 6, 2026
Subtitle: Record ETF inflows and rising bullion demand highlight investors’ preference for safe-haven assets amid market uncertainty.
China’s gold sector demonstrated resilience in 2025, with domestic production rising 1.09% to 381.34 metric tons. While jewelry demand softened, investment-grade assets surged, including a 149.9% jump in gold-backed ETF inflows, signaling a strategic pivot among Chinese investors toward bullion as a safe-haven asset.
According to the China Gold Association (CGA), 2025 saw a marked shift in China’s gold market dynamics. Domestic raw gold output increased slightly to 381.34 metric tons, supported in part by aggressive overseas expansion of major Chinese mining groups, which contributed approximately 90 tons—up 25% year-on-year.
While traditional jewelry consumption fell 31.6% to 363.84 tons, demand for physical investment products soared. Gold bars and coins jumped 35.1% to 504.24 tons, reflecting growing investor appetite for secure assets amid market volatility.
The financial sector saw the most dramatic growth. Gold-backed ETFs recorded a historic inflow of 133.12 tons, nearly 1.5 times the 2024 level, pushing total domestic ETF holdings to 247.85 tons by year-end.
“Investors are increasingly treating gold as a strategic asset, not just a luxury item,” said an industry analyst. “The surge in ETF inflows underscores a broad shift in capital allocation priorities.”
High-tech and industrial usage of gold also edged upward, rising 2.3% to 82.02 tons, driven by China’s expanding electronics and green energy sectors.
Overall, the data highlight a dual trend in China’s gold market: stable production coupled with a strategic pivot toward investment-grade assets, offering a clear signal for global investors and portfolio managers monitoring safe-haven demand in one of the world’s largest bullion markets.