China’s Gold Imports Surge Past 1,100 Tonnes as Investment Demand Peaks

Zijie Wu, an analyst at Jinrui Futures, noted that consistent investment demand has pushed mainland prices above international benchmarks, incentivizing wholesalers to boost imports. A strong yuan has provided the necessary leverage for regulators to expand approval quotas, facilitating this rapid accumulation. While global exchange-traded funds remain stagnant, Chinese ETFs have seen a 18% increase this year, absorbing roughly 44 tonnes through August.

The People’s Bank of China has mirrored this retail enthusiasm, marking 22 consecutive months of reserve growth. The central bank added 20.2 tonnes in August alone—its largest monthly acquisition since October 2023—bringing total official holdings to approximately 2,387 tonnes. This strategic expansion, combined with rising market valuations, saw the total worth of the nation's gold reserves jump from $306.35 billion to $350.08 billion in a single month.