According to the China Gold Association, China's gold investment demand rose in the first half of 2026, while jewelry consumption weakened. The association reported that gold bars and coins saw increased demand as investors sought safe-haven assets amid economic uncertainty.
In contrast, gold jewelry sales declined as high gold prices dampened consumer interest. The World Gold Council noted that China remains the world's largest gold consumer, but the shift from jewelry to investment reflects changing market dynamics.
Analysts attribute the trend to record-high gold prices in 2026, which made jewelry purchases less attractive but boosted investment demand. The People's Bank of China has also been increasing its gold reserves, supporting overall demand.
Industry experts expect the investment segment to continue growing, while jewelry demand may recover only if prices stabilize. The data underscores gold's dual role as both a luxury item and a financial asset in China.
