According to the latest statistics from the China Gold Association, in the first three quarters of 2015, the country’s cumulative gold production totaled 356.932 tons, an increase of 5.20 tons, or 1.48%, compared with the same period last year. Of this total, 295.782 tons were produced from gold mines, and 61.150 tons came from by-products of non-ferrous metal mining. Among major gold enterprises such as China Gold, Zijin Mining, Shandong Gold, and Shandong Zhaojin, the output of gold mined from ore and refined gold accounted for 41.2% and 52.65% of the national total, respectively.

　　In the first three quarters of 2015, China's national gold consumption totaled 813.89 tons, an increase of 59.07 tons, or 7.83%, compared to the same period last year. Specifically: gold used in jewelry manufacturing amounted to 590.98 tons, up 1.65% year-on-year; gold used in gold bar manufacturing reached 141.58 tons, up 18.55% year-on-year; gold used in coin manufacturing was 16.33 tons; and gold used in industrial and other applications totaled 65.00 tons.

　　Gold is a special commodity that possesses both the attributes of a general good and those of a currency. It is a crucial global strategic asset and the cornerstone of each country’s financial reserve system, playing an irreplaceable role in safeguarding national financial stability and economic security.

　　On July 17, China’s central bank released its latest gold reserve data for the first time in six years, reporting an increase of 604 tons to a total of 1,658.1 tons. As of the end of September, China’s gold reserves had reached 1,708.5 tons. The central bank’s decision to increase its gold reserves is a clear reflection of gold’s unique status and its role in boosting the internationalization of the renminbi.

　　Since April 2013, international gold prices have remained sluggish following a sharp decline. From the perspective of the global economic situation, the pace of global economic growth may see a slight rebound this year; however, the overall recovery remains weak and unlikely to show significant improvement. Volatility in international financial markets and commodity markets has intensified, non-economic factors such as geopolitics are exerting greater influence, and uncertainties remain abundant. As the U.S. dollar strengthens, prices of commodities such as gold, nonferrous metals, and oil are currently hovering at low levels. In the coming years, low gold prices may become the “new normal.” Under these circumstances, the development of the gold industry faces enormous challenges. The combination of persistently low gold prices, resource and environmental constraints, and increasingly fierce market competition compels the gold sector to accelerate the pace of reform, innovation, structural adjustment, and transformation and upgrading.

　　Affected by the sluggish gold prices, although the growth rate of gold production has slowed down, gold consumption has managed to shake off the downward trend seen in the first half of the year and has staged a noticeable rebound. In the third quarter of this year, the continued strength of the U.S. dollar and expectations of potential interest-rate hikes by the Federal Reserve have kept commodity prices under downward pressure. However, compared with other commodities, gold prices have remained relatively stable, and gold consumption has reached an inflection point. In the third quarter, sales of gold jewelry showed a clear recovery, with gold used in jewelry manufacturing increasing by 10 tons year-on-year. Both the production and sales figures for gold bars and gold coins turned positive, returning to double-digit growth and ending the downward trend that had persisted since September 2013. It is expected that in 2015, China’s gold consumption will resume its growth trajectory, further solidifying its position as the world’s largest gold-consuming country.