According to the latest statistics from the China Gold Association, domestic raw material gold production in the first quarter of 2026 reached 81.065 tons. This represents a decrease of 6.178 tons compared to the same period last year, a year-on-year decline of 7.08%. Production from imported raw materials amounted to 55.165 tons, an increase of 1.578 tons or 2.94% year-on-year. The total gold production from both domestic and imported raw materials was 136.230 tons, down 4.600 tons or 3.27% year-on-year.
In Q1 2026, the gold industry conducted centralized safety inspections at mines and smelters, carrying out risk investigations on various production facilities. Some companies suspended operations for maintenance in accordance with regulations. These series of control measures had a certain impact on domestic gold production during the quarter. Concurrently, the consolidation of industry resources continues to advance. Zijin Mining Group announced plans to acquire shares of Chifeng Gold, further concentrating high-quality resources. The overseas production capacity of major gold groups saw strong growth, with mineral gold output reaching 24.173 tons in Q1, a significant increase of 30.77% year-on-year.
China's gold consumption in Q1 2026 totaled 303.292 tons, up 4.41% year-on-year. The breakdown is as follows: gold jewelry consumption was 84.620 tons, down 37.10%; consumption in the form of gold bars and coins was 202.062 tons, a sharp increase of 46.40%; industrial and other uses accounted for 16.610 tons, a decrease of 7.43%.
Affected by high and volatile international gold prices, domestic gold jewelry consumption remains under pressure, leading to a continued decline. In contrast, gold investment demand is robust, with gold bars and coins becoming popular investment products. Sales of gold bars through bank channels have increased substantially. Additionally, high gold prices have raised the cost of gold for industrial enterprises, leading to a certain degree of decline in demand for industrial uses.
In Q1 2026, the cumulative trading volume for all gold products on the Shanghai Gold Exchange (single side) was 7,200 tons (14,500 tons double side), a decrease of 9.61% year-on-year. The cumulative trading value (single side) was 7.84 trillion yuan (15.68 trillion yuan double side), an increase of 46.58% year-on-year. On the Shanghai Futures Exchange, the cumulative trading volume for all gold futures and options (single side) was 33,800 tons (67,600 tons double side), up 22.08% year-on-year. The cumulative trading value (single side) was 28.41 trillion yuan (56.83 trillion yuan double side), a substantial increase of 86.18% year-on-year.
At the end of March 2026, the London spot gold fixing price was $4,608.35 per ounce, up 5.05% from the beginning of the year's price of $4,386.85. The closing price for Au9999 gold on the Shanghai Gold Exchange was 1,018.90 yuan per gram, up 2.92% from the opening price of 990.00 yuan per gram at the start of the year. During Q1 2026, prices for gold, silver, platinum, and palladium repeatedly hit new historical highs with significant volatility. The Shanghai Gold Exchange, Shanghai Futures Exchange, and Guangzhou Futures Exchange promptly issued risk warnings, strengthened trading supervision, and activated risk control measures to ensure the stable operation of the domestic precious metals market.
In Q1 2026, holdings of domestic gold ETFs increased by 50.438 tons, a growth of 114.88% compared to Q1 2025. As of the end of March 2026, the total holdings of domestic gold ETFs stood at 298.289 tons.
In Q1 2026, China increased its gold reserves by 7.15 tons. As of the end of March, China's gold reserves reached 2,313.48 tons, moving up one place globally to rank fifth. From November 2024 to March 2026, China has been increasing its gold reserves for 17 consecutive months.