Best of the Week
Most Popular
1. US Housing Market Real Estate Crash The Next Shoe To Drop – Part II - Chris_Vermeulen
2.The Coronavirus Greatest Economic Depression in History? - Nadeem_Walayat
3.US Real Estate Housing Market Crash Is The Next Shoe To Drop - Chris_Vermeulen
4.Coronavirus Stock Market Trend Implications and AI Mega-trend Stocks Buying Levels - Nadeem_Walayat
5. Are Coronavirus Death Statistics Exaggerated? Worse than Seasonal Flu or Not?- Nadeem_Walayat
6.Coronavirus Stock Market Trend Implications, Global Recession and AI Stocks Buying Levels - Nadeem_Walayat
7.US Fourth Turning Accelerating Towards Debt Climax - James_Quinn
8.Dow Stock Market Trend Analysis and Forecast - Nadeem_Walayat
9.Britain's FAKE Coronavirus Death Statistics Exposed - Nadeem_Walayat
10.Commodity Markets Crash Catastrophe Charts - Rambus_Chartology
Last 7 days
Is Stock Market Setting Up for a Blow-Off Top? - 29th May 20
Strong Signs In The Mobile Gaming Market - 29th May 20
Last Clap for NHS and Carers, Sheffield UK - 29th May 20
The AI Mega-trend Stocks Investing - When to Sell? - 28th May 20
Trump vs. Biden: What’s at Stake for Precious Metals Investors? - 28th May 20
Stocks: What to Make of the Day-Trading Frenzy - 28th May 20
Why You’ll Never Get Another Stimulus Check - 28th May 20
Implications for Gold – 2007-9 Great Recession vs. 2020 Coronavirus Crisis - 28th May 20
Ray Dalio Suggests USA Is Entering A Period Of Economic Decline And New World Order - 28th May 20
Europe’s Coronavirus Pandemic Dilemma - 28th May 20
I Can't Pay My Payday Loans What Will Happen - 28th May 20
Predictive Modeling Suggests US Stock Markets 12% Over Valued - 27th May 20
Why Stocks Bear Market Rallies Are So Tricky - 27th May 20
Precious Metals Hit Resistance - 27th May 20
Crude Oil Cuts Get Another Saudi Boost as Oil Demand Begins to Show Signs of Life - 27th May 20
Where the Markets are heading after COVID-19? - 27th May 20
Silver Springboards Higher – What’s Next? - 26th May 20
Stock Market Key Resistance Breakout Is Where the Rubber Meets the Road - 26th May 20
5 Ways To Amp Up Your CFD Trading Today - 26th May 20
The Anatomy of a Gold Stock Bull Market - 26th May 20
Stock Market Critical Price Level Could Soon Prompt A Big Move - 25th May 20
Will Powell Decouple Gold from the Stock Market? - 25th May 20
How Muslims Celebrated EID in Lockdown Britain 2020 - UK - 25th May 20
Stock Market Topping Behavior - 24th May 20
Fed Action Accelerates Boom-Bust Cycle; Not A Virus Crisis - 23rd May 20
Gold Silver Miners and Stocks (after a quick drop) Ready to Explode - 23rd May 20
3 Ways to Prepare Financially for Retirement - 23rd May 20
4 Essential Car Trade-In Tips To Get The Best Value - 23rd May 20
Budgie Heaven at Bird Land - 23rd May 20
China’s ‘Two Sessions’ herald Rebound of Economy - 22nd May 20
Signs Of Long Term Devaluation US Real Estate - 22nd May 20
Reading the Tea Leaves of Gold’s Upcoming Move - 22nd May 20
Gold, Silver, Mining Stocks Teeter On The Brink Of A Breakout - 21st May 20
Another Bank Bailout Under Cover of a Virus - 21st May 20
Do No Credit Check Loans Online Instant Approval Options Actually Exist? - 21st May 20
An Eye-Opening Perspective: Emerging Markets and Epidemics - 21st May 20
US Housing Market Covid-19 Crisis - 21st May 20
The Coronavirus Just Hit the “Fast-Forward” Button on These Three Industries - 21st May 20
AMD Zen 3 Ryzen 9 4950x Intel Destroying 24 core 48 thread Processor? - 21st May 20
Dow Stock Market Trend Analysis and Forecast - 20th May 20
The Credit Markets Gave Their Nod to the S&P 500 Upswing - 20th May 20
Where to get proper HGH treatment in USA - 20th May 20
Silver Is Ensured A Prosperous 2020 Thanks To The Fed - 20th May 20
It’s Not Only Palladium That You Better Listen To - 20th May 20
DJIA Stock Market Technical Trend Analysis - 19th May 20
US Real Estate Showing Signs Of Covid19 Collateral Damage - 19th May 20
Gold Stocks Fundamental Indicators - 19th May 20
Why This Wave is Usually a Market Downturn's Most Wicked - 19th May 20
Gold Mining Stocks Flip from Losses to 5x Leveraged Gains! - 19th May 20
Silver Price Begins To Accelerate Higher Faster Than Gold - 19th May 20
Gold Will Soar Soon; World Now Faces 'Monetary Armageddon' - 19th May 20

Market Oracle FREE Newsletter


China becomes World's Largest Producer of Gold

Commodities / Gold and Silver 2011 Feb 20, 2011 - 02:23 PM GMT

By: Pravda


In 2010, China mined the record amount of gold in the world. The production volume of nonferrous metals in China amounted to 340.88 tons, which is 8.57% higher than a year earlier, and continues to grow. In recent years, China has consistently increased the amount of its gold reserves. Nevertheless, experts believe that China has a long way to go to reach the level of the world leading economies.

According to the China Gold Association, in 2007 China ranked first in terms of gold mining. It outran South Africa and is holding this position to this day. Starting 2004, the volume of production of the precious metal in China has been steadily growing. In 2009 it amounted to 313.98 tons. The volume of the gold imported by China within ten months of 2010 amounted to 209.72 tons, which is six times more than the year before, Rosbalt reported.

China has discovered the precious metals market only in the last decade. In 1949 the country started the production of the metal and produced 4.07 tons of it. As reported by, in 2008 China consumed 395.6 tons of gold. Gold mining first crossed the threshold of 300 tons in 2009. Almost 60% of total output in 2009 came from five provinces - Shandong, Henan, Jiangsu, Fujian and Yunnan. Statistics show that as of 2009 there were over 700 producers of gold in China, 500 fewer than in 2002.

In December, consulting agency GFMS reported that China will outrun India and become the world's largest consumer of gold. The country's leadership believes that the increase in gold production has enhanced China's ability to withstand the crisis risks. In addition, it has a significant meaning in ensuring economic and financial security of the country, Interfax quoted local media news agencies.

During the last few years China has been experiencing a period of economic prosperity and rapid expansion of the capital. The country's economy unexpectedly grew by 8.7% in 2009, while the GDP in the last quarter has reached 10.7%. In addition, the country has increased the volume of direct foreign investment, long-term investments, new loans and monetary supplies. During the same period the Western world has faced a deep recession and is only now beginning to recover. It is expected that the continuous improvement of quality of life, increase of savings rates for individuals and rising incomes will help to create sustainable demand for gold in China, stressed.

It should be also noted that last year Russia ranked fifth as the world's largest gold producer after China, Australia, USA and South Africa, producing 205.2 tons. It is easy to explain, because the interest of central banks of various countries to gold has grown during the global financial crisis, since gold is considered a low-risk asset. Last year the prices rose by nearly 30%, reaching a historic high of $1,430.95 per ounce.

Deputy Chairman of the Central Bank of Russia, Georgy Luntovsky, previously reported that the bank's gold reserves have increased by 280 tons over the past two years and continue to grow at similar rates, and annual purchases will amount to no less than 100 tons. Gold sales by central banks of the Eurozone amounted to less than 1 ton in late September of 2010, in the beginning of the second year of the Agreement of the Central Banks on gold, WGC report stated. Under the agreement, the central banks cannot sell over 400 tons of gold per year to avoid pressure on prices. Overall, since the end of September, central banks have sold 52.2 tons of gold, including the sales by International Monetary Fund, which has not signed the agreement. During the first year of the agreement total sales amounted to 136 tons.

Artem Cherniavsky

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

Pravda Archive

© 2005-2019 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


20 Feb 11, 23:02
Gold stats

Ball park figures 2011. Anual gold production 2500 tons. India to consume 1000. China 900.EU,USA,Swiss,Turkey,Middle East,Vietnam to consume 800.And Russia 200 = 2900 = 400 shortfall. Please Russia Central Bank sell some gold! Help everybody out be a nice fellow.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules