Young population becomes the main gold consumer force in China

Gold is regaining its lost appeal, becoming the preferred choice of many young Chinese, instead of diamonds or other precious stones.

Dân số trẻ trở thành lực lượng tiêu thụ vàng chính ở Trung Quốc

A young couple looks at gold jewelry at a store in Jinan city, Shandong province, China. (Photo: Xinhua)

According to the China Gold Association (CGA), domestic gold consumption in 2023 reached nearly 1,090 tons, up nearly 8.78%. Gold jewelry consumption reached 706.48 tons, up 7.97%, while gold bars and coins reached 299.6 tons, up 15.7%.

Statistics show that the young population aged 25-34 will become the main gold consumer, increasing from 16% to 59% in 2023.

CGA predicts that consumers under 25 years old will become the largest gold consumers in the future.

Experts say there are many factors that are causing the demand for gold among young people in the world's second largest economy to increase.

Firstly, due to the China Chic phenomenon - when jewelers create many trendy jewelry designs, imbued with traditional aesthetics and culture, attracting more and more young customers.

In recent years, the China Chic phenomenon has been welcomed by the younger generation. More and more goldsmiths have joined this trend and designed jewelry products with traditional cultural elements, meeting the aesthetic demands of young customers.

Second, more and more people consider gold as an investment item thanks to the relatively positive performance of gold prices in the market in recent years.

Professor Wang Zhongwu of the Institute of Philosophy and Social Development (Shandong University) said that not long ago, gold was often considered an outdated jewelry of the older generation, but now it is the "identity statement" of Gen Z (1997-2012), expressing the personal style and loyalty to traditional culture of young people.

In addition to jewelry, young Chinese consumers choose to buy gold for investment. Gold is often considered a safe haven during times of financial or political instability because it is less volatile and has low risk.

Data from the Shanghai Gold Exchange showed that the price of 99.99% pure gold was nearly 480 yuan per gram in December 2023, up nearly 16.69% from the beginning of the year.

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