The Gold IRA Company

China’s Gold Imports Surge

The China – Hong Kong Conduit

Reuters reported that China’s net-gold imports via main conduit Hong Kong more than doubled in March on a monthly basis as public awareness and sharp need for gold bullion as a safe-haven asset increased.

According to the China Gold Association (CGA), China, the world’s top gold producer and consumer imported large amounts of gold in Q1 2017, while production of gold fell by 9.3% as older production facilities were phased out, and output fell 101.2 metric tons.

China’s gold imports surged 65% while production fell in Q1. National gold consumption is up 14.7% at 304 metric tons on an annual basis. The larger rise in imports totaling 10.5 metric tons in Q1was set off by strong supply and demand gap.

Quarterly output was down at 101.2 metric tons as compared to Q1 2016 figure of 111.6 metric tons, the China Gold Association (CGA) said.

The Chinese love of gold jewelry

The breakdown of the figures shows that gold used for bullion production was up 60.2% at 101.19 metric tons and gold for jewelry manufacturing edged up 1.4% to 170.93 metric tons.

The Hong Kong Census and Statistics Department data indicates that in April, net gold imports rose to 111.647 metric tons of gold from 47.031 metric tons in February.

Wisdom of Diversification

Gold has historically been used as a safe haven asset for diversification and safety because of its powerful intrinsic value unlike paper assets that can become worthless, and gold is an especially important hard asset to hold in uncertain times of geoeconomic and geopolitical risk.

To diversify and add physical precious metals into your portfolio for diversification, safety, and protection, call us today at 855-554-4853 for your complimentary precious metal consultation.

 

Resources: http://www.kitco.com/news/2017-05-01/China-s-Gold-Imports-Surge-65-As-Production-Falls-9-In-Q1.html

Although the information in this commentary has been obtained from sources believed to be reliable, The Gold IRA Company does not guarantee its accuracy and such information may be incomplete or condensed. The opinions expressed are subject to change without notice. The Gold IRA Company will not be liable for any errors or omissions in this information nor for the availability of this information. All content provided on this blog is for informational purposes only and should not be used to make buy or sell decisions for any type of precious metals.