China gold imports highest in nearly a year

Illustrative photo: (Photo: AFP/VNA)

In April 2025, China imported the highest amount of gold in nearly a year despite record prices.

The surge in demand for the precious metal has prompted the People's Bank of China (PBoC, the central bank) to ease restrictions on gold flows into the country.

China imported 127.5 tonnes of gold in April, the highest in 11 months and a 73% increase from March, even after gold prices hit record highs and briefly topped $3,500 an ounce, customs data released on May 20 showed.

The increase in imports may have been due to the PBoC allocating new quotas to some commercial banks in April, in response to strong demand from institutional and individual investors amid rising trade tensions.

To control the flow of gold, the PBoC usually only issues import licenses and quotas to a few selected banks.

Investors in China have turned to gold as a hedge against growing geopolitical uncertainty, contributing to the metal's strong rally earlier this year.

Although gold prices have eased slightly in May on hopes of easing trade tensions, continued central bank buying to diversify away from dollar-denominated assets could still support gold prices higher.

According to data from the China Gold Association, China's gold output in the first quarter of this year reached 87.24 tons, up 1.28 tons (1.49%) year-on-year.

In the first quarter of 2025, gold jewelry consumption in China reached 134.53 tons, down 26.85% year-on-year. In contrast, demand for gold bars and coins soared 29.81% to nearly 138.02 tons.

The complex and unpredictable geopolitical landscape and economic instability have reinforced gold’s role as a hedge and store of value. This has strongly boosted demand for gold bars and coins as an investment asset./.

According to VNA

Source: https://baothanhhoa.vn/trung-quoc-nhap-khau-vang-cao-nhat-trong-gan-1-nam-249434.htm