According to the latest statistics of the China Gold Association, the domestic raw material gold output in the first half of 2021 was 152.75 tons, a decrease of 17.32 tons compared with the same period in 2020, a decrease of 10.18 percent over the same period last year, of which 122.72 tons of gold mineral gold and 30.03 tons of non-ferrous by-product gold were completed. The supply of imported gold raw materials has increased steadily, and imported raw materials produced 52.19 tons of gold, an increase of 9.33% over the same period last year. If you add this part of imported raw materials to produce gold, the country produced a total of 204.94 tons of gold, down 5.90% from the same period last year.
In the first half of 2021, affected by two safety accidents in Yantai at the beginning of the year, non-coal mines in Shandong Province stopped production and carried out safety inspection in February, which was the main reason for the decline in gold production in the first half of the country. Key gold enterprises (groups) actively communicate and consult with the competent departments at all levels in Shandong Province, and actively supervise subordinate mines to resume normal production on the premise of comprehensive investigation of safety risks and implementation of rectification measures. efforts will be made to reduce the impact of production suspension and rectification on enterprises. Mines in large gold enterprises (groups), such as China Gold, Shandong Gold, Zijin Mining and Shandong Zhaojin, achieved mineral gold output of 60.51 tons in the first half of the year, accounting for 49.31 percent of the country, which is basically the same as that in the same period in 2020. Major projects at home and abroad have progressed steadily. Two world-class gold mines, China Gold Shaling Gold Mine and Shandong Zhaojin Sea Gold Mine, have obtained mining licenses, and the project construction has entered the fast track of full implementation, which will become an important guarantee for domestic gold production in the future. The successful acceptance of the construction of Shandong gold "international first-class demonstration mine" has created a new mode of construction and operation of "smart mine" and "ecological mining" in mining enterprises. Zijin Mining Serbian Chukalu-Peggy Copper and Gold Mine has entered the stage of trial production and will become another growth point of China's overseas gold production.
In the first half of 2021, the actual consumption of gold in the country was 547.05 tons, an increase of 69.21 percent over the same period in 2020 and 4.49 percent over the same period in 2019 before the epidemic. Of this total, gold jewelry was 348.56 tons, up 67.68 percent over the same period last year; gold bars and coins were 151.10 tons, up 96.28 percent over the same period last year; and gold for industrial and other uses was 47.39 tons, up 23.28 percent over the same period last year.
Due to a low base in the same period last year, gold consumption rebounded sharply in the first half of the year. With a series of policies to expand domestic demand and promote consumption, gold jewelry consumption recovered rapidly in the first quarter, and the recovery momentum of gold jewelry consumption increased continuously in the second quarter, driven by factors such as Qingming Festival, May Day and Dragon Boat Festival Holiday. Among them, the ancient law gold jewelry consumption continued to rise strongly, becoming the main driving force for the recovery of the industry. Key gold jewelry sales enterprises have landed in the capital market, following the "China Gold" listed in A-share trading, "vegetable shares" IPO has also been approved. Physical gold investment continued to be relatively hot in the second quarter, especially the correction in gold prices in June and the brief "upside down" of domestic and foreign gold prices, which gave investors the opportunity to buy on the bargain. Thanks to the hot demand for new energy vehicles and electronic products, the demand for industrial gold continues to grow steadily.
In the first half of 2021, with the steady increase in the global novel coronavirus vaccination rate, the overall slowdown of the epidemic, and the strengthening of upward expectations of the global economy, gold prices fluctuated back. Spot gold traded at $1763.15 an ounce in London at the end of June, down 9.27% from the start of the year. Au9999 gold on the Shanghai Gold Exchange opened at 397.48 yuan / g and closed at 365.82 yuan / g at the end of June, down 7.97% from the beginning of the year. The weighted average price in the first half of the year was 376.62 yuan / g, still up 2.07% from the same period last year.
In the first half of 2021, the cumulative turnover of all gold varieties on the Shanghai Gold Exchange was 18400 tons bilateral (unilateral 9200 tons), down 45.46 percent from the same period last year, and the bilateral turnover was 6.96 trillion yuan (3.48 trillion yuan unilateral), down 44.02 percent from the same period last year. The cumulative turnover of all gold varieties in the Shanghai Futures Exchange was 50600 tons bilateral (unilateral 25300 tons), an increase of 17.57 percent over the same period last year, and the bilateral turnover was 17.89 trillion yuan (8.95 trillion yuan unilateral), an increase of 16.18 percent over the same period last year. In the first half of the year, the domestic gold ETF holdings increased by 7.76t. By the end of June, the domestic gold ETF holdings were about 68.67t.
