Report : The world’s top gold producers for 2023 – forecast for 2024

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In 2023, the global gold production landscape was dominated by three key players: China, Australia, and Russia. Together, these countries contributed significantly to the world’s total gold output. China led the charge, producing 370 metric tons, accounting for over 12% of the global total. Australia and Russia followed closely, each producing 310 metric tons. This article delves into the intricate details of gold production across these top-producing nations, examining the key mines, companies, and economic impacts involved.

China’s Dominance in Gold Production

China has been the world leader in gold production for several years. In 2023, China maintained its top position by producing 370 metric tons of gold. This substantial output is primarily concentrated in the eastern provinces such as Shandong, Henan, Fujian, and Liaoning. The country’s gold mine reserves were estimated at 3,000 tonnes at the start of 2024, representing approximately 5% of the global total of 59,000 tonnes.

Key players in China’s gold industry include state-owned enterprises such as China Gold International Resources, Shandong Gold, and Zijin Mining Group. These companies not only dominate domestic production but also actively participate in global gold exploration and development projects, particularly under China’s Belt and Road Initiative.

In addition to its production capabilities, China emerged as the largest buyer of gold in 2023. The Chinese central bank alone purchased 225 tonnes of gold, reflecting the country’s strategic move to bolster its reserves amid global economic uncertainties.

Australia’s Gold Mining Industry

Australia’s gold production in 2023 reached 310 metric tons, maintaining its position as the second-largest producer globally. The country is home to the largest gold reserves in the world, totaling 12,000 tons. The Western Australian region, particularly the Boddington mine operated by Newmont Corporation, is the epicenter of gold production in the country. This mine alone produced 589,000 ounces of gold in the first three quarters of 2023.

The gold mining industry in Australia significantly contributes to the national economy. During the 2022-2023 period, it added $24 billion to the Australian economy. Companies like Newmont Corporation and local entities play crucial roles in sustaining and expanding gold production capabilities.

Russia’s Gold Production Amid Geopolitical Tensions

Russia, with a production of 310 metric tons in 2023, tied with Australia as the second-largest gold producer. The country’s gold reserves are second only to Australia, estimated at 11,000 tons. Major contributors to Russia’s gold output include large mining operations such as Polyus and Polymetal International.

The ongoing Russia-Ukraine conflict has posed challenges for Russian gold sales, leading the country to seek alternative markets. There has been a significant shift towards BRICS countries and other Asian markets, including Kazakhstan, as new avenues for Russian gold.

North America’s Contributions: Canada and the United States

Canada

Canada’s gold production in 2023 stood at 200 metric tons, marking a slight decrease from the previous year. The majority of this production comes from the provinces of Ontario and Quebec, which together account for over 70% of the country’s output. The Golden Triangle in British Columbia has also become a hotspot for gold exploration, with significant discoveries by companies such as Goliath Resources.

Gold remains Canada’s most valuable mining commodity, with exports totaling $22.34 billion in 2022. The country’s estimated gold reserves are significant, bolstered by ongoing exploration and development activities.

United States

The United States produced 170 metric tons of gold in 2023, continuing a trend of declining production from a peak of 237 tons in 2017. Nevada is the largest gold-producing state, contributing 73% of the national output. The estimated undiscovered gold resources in the U.S. amount to approximately 33,000 tons, highlighting significant potential for future exploration and production.

Emerging and Established Gold Producers

Kazakhstan

Kazakhstan’s gold production has seen a steady increase over the years, reaching 130 metric tons in 2023. The country’s largest gold mine, Altyntau Kokshetau, is owned by Glencore. Despite geopolitical tensions and economic challenges, Kazakhstan continues to bolster its gold production capabilities.

Mexico

Mexico produced 120 metric tons of gold in 2023, with a rich history of gold mining. The Herradura mine, owned by Fresnillo, is a major contributor, producing 355,485 ounces of gold in 2023. Gold mining remains a crucial sector for Mexico’s economy, with foreign companies playing significant roles in production and exploration.

Indonesia

Indonesia’s gold production reached 110 metric tons in 2023, with the Grasberg Mining District being the largest gold mine. This joint venture between Freeport-McMoRan and Indonesia Asahan Aluminium produced 1.98 million troy ounces of gold in 2023, highlighting Indonesia’s importance in the global gold market.

South Africa

South Africa saw an increase in gold production from 89 tons in 2022 to 100 tons in 2023. Despite historical declines, the country remains a key player due to its significant gold reserves and the Witwatersrand Basin, one of the largest gold resource areas globally. However, the mining industry faces challenges such as labor strikes and power shortages.

Uzbekistan

Uzbekistan maintained stable gold production at 100 metric tons in 2023. The Muruntau mine, operated by the Navoi Mining and Metallurgical Company, is one of the largest gold mines globally, with significant annual production and reserves. Upgrades to the Muruntau mine are expected to boost production further in the coming years.

Global Gold Consumption and Market Trends

In 2023, the majority of gold produced was utilized in jewelry production, which accounted for 46% of global consumption. Central banks and institutions were significant buyers, holding 23% of the gold. Physical bars and coins represented 16% and 9% of consumption, respectively, while the remaining 6% was used in electronics and other applications.

The global gold market has been influenced by various geopolitical tensions, including conflicts in Ukraine and the Middle East, as well as economic uncertainties in major economies like the United States. Despite high gold prices, Western investors have been cautious, with substantial support coming from central bank purchases in countries like Turkey, China, and India.

Here is the detailed scheme table with updated information as of today, including analytical data for the world’s top gold producers in 2023:

CountryRegion2023 Production (tonnes)Major Mines and CompaniesReserves (tonnes)Key Buyers/ConsumersEconomic ImpactChallenges
ChinaAsia370Shandong Gold, Zijin Mining, China Gold International Resources. Major mines in Shandong, Henan, Fujian, Liaoning3,000Central bank (225 tonnes in 2023), jewelry marketLargest gold buyer, significant state involvement, part of Belt and Road Initiative, central bank purchasesGeopolitical tensions, environmental regulations, need for new technologies
AustraliaOceania310Newmont Corporation (Boddington mine), Evolution Mining, Northern Star Resources12,000Jewelry market, investment sector$24 billion contribution to economy (2022-2023), large reserve base, technological advancementsEnvironmental concerns, labor issues, fluctuating gold prices
RussiaEurope310Polyus, Polymetal International, multiple mines across Siberia and Far East11,000BRICS countries, Asian markets (due to geopolitical shifts)Increased production since 2017, significant reserves, strategic market shiftsSanctions, market access limitations due to geopolitical tensions, need for diversification
CanadaNorth America200Barrick Gold, Agnico Eagle, Goldcorp. Key regions: Ontario, Quebec, British Columbia (Golden Triangle)2,300Export markets, primarily the U.S. and Europe$22.34 billion in exports (2022), major role of Ontario and Quebec in production, exploration activities in British ColumbiaRegulatory changes, environmental impact, fluctuating commodity prices
United StatesNorth America170Newmont Goldcorp, Barrick Gold, Kinross Gold. Major mines in Nevada, Alaska3,000Jewelry market, investment sector, central bank reservesSignificant production from Nevada (73%), estimated undiscovered resources (33,000 tonnes)Declining production, environmental regulations, mining costs, need for technological advancements
KazakhstanAsia130Altyntau Kokshetau (Glencore), Kazzinc (subsidiary of Glencore)1,000Export markets in Asia and EuropeIncreased production since 2016, major reserves, strategic locationGeopolitical risks, dependency on international markets, operational challenges
MexicoNorth America120Fresnillo (Herradura mine), Newmont Goldcorp, Agnico Eagle1,400Jewelry market, export marketsLong history of gold mining, significant contribution to national economy, major role of foreign companies in productionRegulatory challenges, environmental impact, dependency on foreign companies
IndonesiaAsia110Freeport-McMoRan (Grasberg Mining District), Indonesia Asahan Aluminium2,600Domestic and export marketsMajor producer, significant reserves, joint ventures with international companiesRegulatory changes, environmental concerns, need for infrastructure improvements
South AfricaAfrica100AngloGold Ashanti, Sibanye Stillwater, Harmony Gold. Key regions: Witwatersrand Basin5,000Jewelry market, export markets, investment sectorHistorical leader in gold production, large reserves, significant role in global marketLabor strikes, power shortages, aging infrastructure, regulatory and environmental challenges
UzbekistanAsia100Navoi Mining and Metallurgical Company (Muruntau mine)4,500Export markets, primarily to China and RussiaStable production, significant reserves, ongoing upgrades to Muruntau mine expected to boost productionGeopolitical risks, dependency on key markets, need for modernization and technological improvements
GhanaAfrica90Newmont Goldcorp, Gold Fields, AngloGold Ashanti1,000Export markets, jewelry marketMajor producer in Africa, significant economic contribution, exploration and development activitiesRegulatory changes, environmental concerns, dependency on foreign companies
PeruSouth America90Barrick Gold, Newmont Goldcorp, Buenaventura. Major mines: Yanacocha, Lagunas Norte2,500Export markets, primarily the U.S. and EuropeHistorical mining industry, significant reserves, major role in national economySocial conflicts, regulatory challenges, environmental impact
BrazilSouth America60Vale, AngloGold Ashanti, Yamana Gold2,400Jewelry market, export marketsSignificant gold producer, major reserves, contribution to national economyEnvironmental regulations, operational challenges, need for infrastructure improvements
Burkina FasoAfrica60IAMGOLD, Endeavour Mining, Roxgold1,000Export markets, jewelry marketGrowing gold industry, significant exploration activities, major economic contributorPolitical instability, security issues, regulatory changes
MaliAfrica60Barrick Gold, AngloGold Ashanti, Resolute Mining800Export markets, jewelry marketMajor producer in Africa, significant exploration and development activitiesPolitical instability, security concerns, regulatory and environmental challenges
TanzaniaAfrica60Barrick Gold, AngloGold Ashanti, Shanta Gold1,200Export markets, jewelry marketGrowing gold industry, major economic contributor, significant exploration and development activitiesRegulatory changes, environmental concerns, need for infrastructure improvements
Rest of World700VariousVariousVariousVarious

Analytical Insights

Production Trends and Future Outlook

The global gold production landscape in 2023 was influenced by several factors, including geopolitical tensions, economic uncertainties, and fluctuating gold prices. High gold prices, reaching record highs above $2,400 in May, prompted increased investment and output across many of the leading gold-producing countries.

Despite these challenges, the medium-term outlook for global gold production remains positive. According to Fitch Solutions, global gold mine production is expected to grow by 15% from 2023 to 2032, driven by high prices encouraging investment and the development of new mining projects.

Geopolitical and Economic Impacts

Geopolitical tensions, particularly the Russia-Ukraine conflict and tensions in the Middle East, have significantly impacted gold markets. These events have led to increased gold purchases by central banks in countries like Turkey, China, and India, providing strong support for gold prices.

In the United States, economic uncertainties ahead of the November election have also influenced the gold market. Despite high prices, Western investors have remained cautious, preferring to observe market trends before making significant investments.

Technological Advancements and Environmental Considerations

Technological advancements in mining and refining processes continue to play a crucial role in increasing production efficiency and reducing environmental impacts. Countries like Australia and Canada are leading in implementing new technologies to enhance their gold production capabilities.

Environmental considerations remain a significant challenge for the gold mining industry. Stricter regulations and the need for sustainable mining practices are pushing companies to adopt more environmentally friendly methods and technologies.

Market Dynamics and Consumer Behavior

Consumer behavior and market dynamics are also shaping the gold production landscape. Jewelry remains the largest consumer of gold, accounting for 46% of global consumption. Central banks and institutions are significant buyers, holding 23% of the gold, while physical bars and coins represent 16% and 9% of consumption, respectively.

In emerging markets, strong retail sales have provided additional support for gold prices. Countries like China and India have seen robust demand for gold jewelry and investment products, further influencing global gold markets.

The global gold production landscape in 2023 highlights the significant contributions of leading gold-producing countries, the impact of geopolitical and economic factors, and the ongoing challenges and opportunities in the industry. With continued investment in exploration, technological advancements, and strategic market shifts, the future of gold mining remains dynamic and integral to the global economy.

WORLD OFFICIAL GOLD HOLDINGS

The landscape of global gold holdings is a fascinating tableau that reflects the economic priorities and strategic considerations of countries around the world. As of June 2024, the data on international financial statistics reveals a complex picture of gold reserves held by various nations and institutions. This article delves into the details of these holdings, examining the figures, trends, and implications in an analytical manner, supplemented with the latest updates and data available as of today.

The United States continues to dominate the global gold holdings, with a staggering 8,133.5 tonnes, accounting for 72.3% of its reserves as of April 2024. This substantial reserve underscores the country’s strategic emphasis on gold as a hedge against economic uncertainty and a stabilizing asset in its monetary policy framework. Germany follows with 3,351.9 tonnes, making up 71.6% of its reserves, reflecting its strong economic position within the Eurozone and the importance it places on gold for financial stability.

The International Monetary Fund (IMF) holds 2,814 tonnes, a significant figure considering its role in global economic stability and monetary cooperation. Italy and France, with 2,451.8 and 2,437 tonnes respectively, also feature prominently, each holding over 68% of their reserves in gold. This strong presence of European countries among the top holders highlights the continent’s historical reliance on gold and its continued relevance in their economic strategies.

The Russian Federation, with 2,335.9 tonnes, represents a strategic shift towards gold as a means of diversifying reserves and reducing dependence on foreign currencies, particularly the US dollar. This is part of a broader trend among several countries to increase their gold reserves in response to geopolitical tensions and economic sanctions.

China, with 2,264.3 tonnes, holds only 4.9% of its reserves in gold, indicating a more diversified reserve strategy that includes significant holdings of foreign exchange. Switzerland, known for its financial stability and banking sector, holds 1,040 tonnes, which is 8.7% of its reserves.

Japan and India, two major economies in Asia, hold 846 and 827.7 tonnes respectively. Japan’s gold reserves constitute 4.9% of its total reserves, while India’s holdings account for 9.5%. These figures reflect the different economic strategies and the historical context of gold usage in these countries.

The Netherlands, with 612.5 tonnes, and Turkey, with 578.2 tonnes, also make significant appearances. Turkey’s gold holdings, which form 39.4% of its reserves, have been part of its strategy to bolster economic security amidst regional instability and economic challenges.

The European Central Bank (ECB) holds 506.5 tonnes, representing 36.9% of its reserves. This highlights the ECB’s role in managing the Eurozone’s monetary policy and the importance of gold in its reserve assets.

Taiwan Province of China holds 422.4 tonnes, and Portugal’s reserves stand at 382.6 tonnes, with the latter having a high gold-to-reserves ratio of 74.3%. Poland, with 363.4 tonnes, has been increasing its gold reserves in recent years, reflecting a strategic move to enhance financial stability.

Uzbekistan’s reserves of 356.4 tonnes, which account for 75.5% of its total reserves, highlight its reliance on gold amidst regional economic dynamics. Saudi Arabia, with 323.1 tonnes, and Kazakhstan, with 316.5 tonnes, also feature prominently, each maintaining significant portions of their reserves in gold.

The United Kingdom, with 310.3 tonnes, represents 13.5% of its reserves. This reflects the UK’s balanced approach to reserve management amidst the complexities of Brexit and its economic repercussions. Lebanon, with 286.8 tonnes, has one of the highest gold-to-reserve ratios at 59.6%, underscoring its reliance on gold for economic stability.

Spain holds 281.6 tonnes, constituting 20.2% of its reserves. Austria’s reserves of 280 tonnes, making up 63.2% of its total reserves, reflect its strategic emphasis on gold within its financial system. Singapore, with 240.8 tonnes, and Thailand, with 234.5 tonnes, have smaller but significant reserves that form important parts of their overall economic strategies.

Belgium’s 227.4 tonnes, representing 39.9% of its reserves, highlight its traditional reliance on gold. Algeria and Venezuela, with 173.6 and 161.2 tonnes respectively, have high gold-to-reserve ratios, particularly Venezuela at 86.1%, reflecting economic policies amidst political and economic turmoil.

Libya, the Philippines, Iraq, and Brazil, each holding between 126 and 146.7 tonnes, showcase diverse approaches to gold reserves based on their unique economic circumstances and strategic priorities. Egypt, with 126.5 tonnes, and South Africa, with 125.4 tonnes, also feature prominently, each reflecting regional economic dynamics and historical contexts.

Mexico, Greece, and the Republic of Korea, with reserves ranging from 104.4 to 120.4 tonnes, represent diverse economic strategies and the importance of gold in their financial systems. Romania, Qatar, and the Bank for International Settlements (BIS), with similar holdings, further underscore the varied importance of gold across different financial institutions.

Hungary, Australia, and Kuwait, with reserves ranging from 79 to 94.5 tonnes, reflect strategic decisions to hold gold as part of their economic policies. Indonesia and the United Arab Emirates, with 78.6 and 73.9 tonnes respectively, highlight regional approaches to gold reserves.

Denmark, Jordan, and Pakistan, with reserves in the range of 64.7 to 66.5 tonnes, showcase diverse strategies in holding gold as a stabilizing asset. Argentina, with 61.7 tonnes, reflects its economic policies amidst financial challenges.

Among smaller holders, Belarus, Finland, and Cambodia, with reserves ranging from 42.5 to 54 tonnes, demonstrate regional variations in gold holdings. Bulgaria, Serbia, Malaysia, and the Czech Republic, with similar holdings, further reflect the diverse approaches to gold reserves.

The West African Economic and Monetary Union (WAEMU), Peru, and the Slovak Republic, with reserves in the range of 31.7 to 36.5 tonnes, highlight the role of regional and economic unions in managing gold reserves. Ukraine and Ecuador, with reserves of 27.1 and 26.3 tonnes respectively, reflect strategic decisions amidst economic challenges.

Countries with smaller reserves, such as the Syrian Arab Republic, Kyrgyz Republic, and Bolivia, demonstrate unique economic strategies in holding gold. Morocco, Afghanistan, Nigeria, and Bangladesh, with reserves ranging from 14.3 to 22.1 tonnes, further highlight the varied importance of gold across different regions.

Other countries with modest reserves include Cyprus, Curaçao and Sint Maarten, Mauritius, and Ireland. These nations hold between 12 and 13.9 tonnes, reflecting their specific economic policies and strategic priorities.

Ghana, Paraguay, and Nepal, with reserves ranging from 8 to 8.7 tonnes, showcase regional approaches to gold reserves. Myanmar, North Macedonia, Guatemala, and Tunisia, with reserves between 6.8 and 7.3 tonnes, further demonstrate the diversity in gold holdings across different economies.

Mongolia, Oman, Latvia, and Lithuania, with reserves ranging from 5.8 to 6.8 tonnes, highlight regional strategies in holding gold as part of their financial systems. The Central African Economic and Monetary Community (BEAC), Colombia, and Bahrain, with reserves around 4.7 tonnes, reflect the importance of gold in their economic frameworks.

Smaller holders, such as Brunei Darussalam, Mozambique, Albania, and Slovenia, with reserves ranging from 3.2 to 4.5 tonnes, demonstrate regional variations in gold holdings. Aruba, Luxembourg, and Hong Kong SAR, with reserves between 2.1 and 3.1 tonnes, further reflect diverse approaches to gold reserves.

Countries with the smallest reserves include Iceland, Trinidad and Tobago, Yemen, Bosnia and Herzegovina, Papua New Guinea, and Suriname. These nations hold between 1.2 and 2 tonnes, showcasing minimal but significant gold holdings as part of their economic policies.

In total, the world’s gold reserves stand at 36,004.2 tonnes, with various countries and institutions holding significant portions as part of their financial strategies. The Euro Area, including the ECB, holds a combined total of 10,771 tonnes, reflecting the importance of gold within the Eurozone’s financial framework. The State Oil Fund of the Republic of Azerbaijan (SOFAZ) holds 104.8 tonnes, highlighting the strategic use of gold within national wealth funds.

These figures, while comprehensive, are constantly evolving as countries adjust their gold reserves in response to economic conditions, geopolitical events, and financial policies. The dynamics of gold holdings continue to be a critical aspect of global financial stability and economic strategy.

WORLD OFFICIAL GOLD HOLDINGS
International Financial Statistics, June 2024*
Tonnes% of reserves**Holdings as ofTonnes% of reserves**Holdings as of
1United States8.133,572,3%Apr 202451Belarus, Rep. of4)54,047,1%Mar 2024
2Germany3.351,971,6%Apr 202452Finland49,021,2%Apr 2024
3IMF2.814,01)Apr 202453Cambodia42,516,4%Jul 2023
4Italy2.451,868,6%Apr 202454Bulgaria40,97,5%Apr 2024
5France2.437,069,8%Apr 202455Serbia, Rep. of40,711,2%Mar 2024
6Russian Federation2.335,929,1%Apr 202456Malaysia38,92,6%Apr 2024
7China, P.R.: Mainland2.264,34,9%Apr 202457Czech Rep.37,21,9%Apr 2024
8Switzerland1.040,08,7%Mar 202458WAEMU3)36,518,0%Mar 2024
9Japan846,04,9%Apr 202459Peru34,73,6%Jul 2021
10India827,79,5%Apr 202460Slovak Rep.31,718,1%Apr 2024
11Netherlands, The612,561,7%Apr 202461Ukraine27,14,7%Apr 2024
12Turkey5)578,239,4%Nov 202262Ecuador26,336,2%Mar 2024
13ECB506,536,9%Apr 202463Syrian Arab Republic25,810,3%Jun 2011
14Taiwan Province of China422,45,2%Mar 202464Kyrgyz Rep.25,553,2%Apr 2024
15Portugal382,674,3%Apr 202465Bolivia23,587,9%Dec 2023
16Poland, Rep. of363,413,1%Apr 202466Morocco22,14,6%Mar 2024
17Uzbekistan, Rep. of356,475,5%Apr 202467Afghanistan, Islamic Rep. of21,916,4%May 2021
18Saudi Arabia323,15,3%Feb 202468Nigeria21,54,5%Jan 2018
19Kazakhstan, Rep. of316,559,0%Apr 202469Bangladesh14,35,3%Mar 2024
20United Kingdom310,313,5%Apr 202470Cyprus13,953,0%Apr 2024
21Lebanon286,859,6%Sep 202371Curaçao and Sint Maarten13,137,5%Nov 2023
22Spain281,620,2%Apr 202472Mauritius12,412,7%Apr 2024
23Austria280,063,2%Apr 202473Ireland12,07,1%Apr 2024
24Singapore240,84,7%Apr 202474Ghana8,715,5%Jan 2024
25Thailand234,57,9%Apr 202475Paraguay8,26,2%Apr 2024
26Belgium227,439,9%Apr 202476Nepal8,04,5%Mar 2024
27Algeria173,615,5%Apr 202477Myanmar7,36,5%Mar 2021
28Venezuela, Republica Bolivariana de161,286,1%Jun 201878North Macedonia, Republic of6,911,0%Apr 2024
29Libya146,712,0%Apr 202479Guatemala6,92,4%Apr 2024
30Philippines145,710,4%Mar 202480Tunisia6,86,2%Apr 2024
31Iraq145,79,8%Mar 202481Mongolia6,810,2%Feb 2024
32Brazil129,72,7%Apr 202482Oman6,72,8%Feb 2024
33Egypt, Arab Rep. of126,524,1%Apr 202483Latvia6,710,0%Apr 2024
34Sweden125,715,2%Apr 202484Lithuania5,87,8%Apr 2024
35South Africa125,415,1%Apr 202485BEAC9)4,71)Apr 2024
36Mexico120,44,0%Apr 202486Colombia4,70,6%Mar 2024
37Greece114,559,0%Apr 202487Bahrain, Kingdom of4,76,7%Mar 2024
38Korea, Rep. of104,41,8%Mar 202488Brunei Darussalam4,57,9%Feb 2024
39Romania103,610,3%Apr 202489Mozambique, Rep. of3,97,9%Mar 2024
40Qatar102,514,6%Mar 202490Albania3,44,2%Mar 2024
41BIS2)102,01)Feb 202491Slovenia, Rep. of3,28,9%Apr 2024
42Hungary94,514,0%Apr 202492Aruba, Kingdom of the Netherlands3,115,0%Jun 2023
43Australia79,910,8%Apr 202493Luxembourg2,25,6%Apr 2024
44Kuwait79,011,0%Mar 202494Hong Kong SAR2,10,0%Mar 2024
45Indonesia78,64,1%Mar 202495Iceland2,02,3%Apr 2024
46United Arab Emirates73,92,8%Feb 202496Trinidad and Tobago1,92,7%Apr 2024
47Denmark66,54,5%Apr 202497Yemen, Republic of1,62,2%Jul 2014
48Jordan65,424,3%apr 202498Bosnia and Herzegovina1,51,2%Mar 2024
49Pakistan64,731,6%Apr 202499Papua New Guinea1,32,6%Jun 2020
50Argentina61,716,6%Apr 2024100Suriname1,26,6%Mar 2024
WORLD OFFICIAL GOLD HOLDINGS
International Financial Statistics, June 2024*
OtherTonnes% of reserves**Holdings as of
World6)36.004,216,7%Mar 2024
Euro Area (incl. ECB)10.771,059,5%Apr 2024
State Oil Fund of the Republic of Azerbaijan (SOFAZ)8)104,813,2%mar 2024
SOURCE: U.S. Geological Survey, Mineral Commodity Summaries, June 2024

What will be the trend of the world gold market for 2024?

The global gold market in 2024 is poised to exhibit several intriguing trends influenced by economic, geopolitical, and technological factors. These dynamics will shape the roles of key players in the gold market, highlighting the implications for the world economy.

The price of gold has consistently demonstrated resilience amidst fluctuating economic conditions, and 2024 is expected to continue this trend. The World Gold Council reports that the first quarter of 2024 saw record-high prices, with gold averaging $2,070 per ounce, a 10% increase year-on-year. This price surge is driven by a combination of factors, including persistent demand from central banks, increased over-the-counter (OTC) investments, and robust demand from Asian markets.

Central banks have been significant players in the gold market, continually purchasing gold to diversify their reserves. In the first quarter of 2024 alone, central banks added 290 tonnes of gold to their holdings. This continued accumulation underscores gold’s importance as a strategic asset, particularly in times of economic uncertainty and geopolitical tension. Countries like Turkey, China, and India have been at the forefront of this trend, with Turkey’s central bank notably increasing its reserves by 30 tonnes during this period.

Investment demand for gold, particularly in the form of bars and coins, remains strong, driven largely by economic conditions in major markets such as China and India. In China, weakening local currency and poor performance in domestic equity markets have led to renewed interest in gold. Similarly, India’s gold demand is expected to be bolstered by economic growth and favorable monsoon conditions, despite high gold prices and election-related uncertainties.

Jewelry demand, another significant component of the gold market, has shown resilience despite high prices. This sector is particularly influenced by cultural factors and economic conditions in major markets like China and India. Technological advancements also play a role, with demand for gold in electronics and other industries expected to grow, driven by the AI boom and increased use in the automotive sector.

On the supply side, gold mine production continues to grow, with a 4% increase year-on-year in the first quarter of 2024. This growth is largely attributed to increased production in countries like Canada, China, and Ghana. Recycling of gold has also seen a significant rise, responding to higher prices and economic incentives for individuals to sell old jewelry.

Looking ahead, the economic landscape will play a crucial role in shaping gold market trends. The potential for a “soft landing” in the US economy, characterized by moderate economic growth and controlled inflation, could create a favorable environment for gold. However, the prospect of stagflation—combining stagnation with inflation—remains a concern and could further drive demand for gold as a safe-haven asset.

Geopolitical factors, such as ongoing tensions and conflicts, also significantly impact gold demand. Gold’s status as a safe-haven asset means that during periods of heightened geopolitical risk, demand typically rises, driving up prices.

In terms of market dominance, several nations are poised to play pivotal roles. China and Russia, both significant gold producers and consumers, are likely to continue their dominance. China’s extensive investment in gold production and its large consumer base position it as a major player. Similarly, Russia’s substantial gold reserves and production capabilities ensure its influence in the market.

India, with its cultural affinity for gold and growing economic power, is also a critical market. The country’s jewelry sector remains robust, and increasing urbanization and wealth are likely to sustain high levels of demand. Meanwhile, Turkey’s strategic purchases and the central banks’ continuous accumulation reflect its growing importance in the global gold market.

The implications of controlling gold production for the world economy are profound. Nations with substantial gold reserves and production capabilities can influence global gold prices, impacting international trade and economic stability. Gold’s role as a hedge against inflation and currency devaluation means that countries with significant gold holdings can better manage economic shocks and financial crises.

Moreover, control over gold production can enhance a nation’s geopolitical power. Countries with substantial gold reserves can leverage these assets in international negotiations and as part of their foreign policy strategies. This strategic use of gold can provide economic security and strengthen a country’s position on the global stage.

In conclusion, the gold market in 2024 is expected to be shaped by a confluence of economic, geopolitical, and technological factors. Major players like China, India, and Russia will continue to dominate, leveraging their production capabilities and consumption demands. For the global economy, control over gold production means enhanced stability, economic security, and geopolitical influence. As we navigate the complexities of the 21st century, gold remains a vital asset, reflecting its enduring value and strategic importance.


APPENDIX 1 – Consumer demand in selected countries (Tonnes)

Consumer demand in selected countries (Tonnes)
 20102011201220132014201520162017201820192020202120222023 Year-on-year % change
India1.001,7974,0914,2958,6833,5857,2666,1771,2760,4690,4446,4797,3774,1761,0-2
Pakistan33,839,939,444,235,837,642,244,940,238,028,841,244,343,0-3
Sri Lanka0,00,00,00,09,110,710,511,29,67,94,34,13,910,5168
Greater China676,3873,0918,31.449,81.083,71.062,2985,01.029,71.058,4899,5641,3993,7824,9959,116
China, P.R.: Mainland645,7816,3856,31.345,51.005,3995,5929,4971,6994,3849,1612,7958,8789,0909,715
Hong Kong SAR24,243,849,785,561,452,842,946,052,139,617,824,624,538,657
Taiwan Province of China6,313,012,418,817,013,812,812,211,910,810,810,211,410,8-5
Japan-19,1-36,45,120,913,732,734,013,329,0-3,14,515,64,315,9273
Indonesia50,660,861,788,163,459,059,558,864,054,537,646,849,745,5-9
Malaysia16,719,819,626,624,820,417,817,518,917,613,114,918,516,6-10
Singapore9,913,114,820,920,518,117,116,616,415,09,411,514,912,5-16
Korea, Republic of19,226,628,040,839,745,539,241,241,038,935,439,632,427,6-15
Thailand71,3113,6110,0153,8108,790,281,575,480,646,5-81,536,738,443,212
Vietnam82,3103,484,399,666,763,458,353,959,556,439,843,059,155,5-6
Australia0,00,00,00,00,00,00,00,00,00,00,030,936,225,1-31
Middle East327,2301,4300,2388,9328,8302,8228,9241,7259,0231,2172,1219,9281,1285,42
Saudi Arabia84,572,565,984,784,084,460,254,449,646,031,144,250,152,34
UAE76,968,260,078,566,060,251,252,241,939,126,741,655,351,0-8
Kuwait10,39,79,315,517,816,215,016,517,015,913,016,618,919,64
Egypt55,336,444,252,851,143,128,124,527,429,123,534,151,557,011
Islamic Republic of Iran85,098,2102,1127,775,467,345,164,591,269,656,351,871,771,80
Other Middle East15,216,618,629,734,631,629,229,632,031,521,531,633,633,80
Turkey108,8145,5114,0184,1116,772,170,193,674,189,3147,095,3121,7192,258
Russian Federation60,364,467,779,775,547,942,042,345,648,134,846,860,771,217
Americas303,8266,8224,2251,4224,6248,5266,5215,4209,9205,9237,3321,3311,1305,2-2
United States226,7198,5160,2187,8164,7190,6210,1158,9154,4150,8187,3264,9252,4249,7-1
Canada20,420,617,619,618,417,517,917,016,517,420,826,027,523,8-13
Mexico27,521,918,418,418,019,018,219,318,918,113,314,114,214,73
Brazil29,225,928,125,623,521,420,220,220,119,616,016,217,017,0-1
Europe ex CIS394,5421,6317,3336,5274,4297,6278,0266,5245,2225,0312,1342,5384,0202,0-47
France22,025,718,416,815,113,19,213,211,812,914,017,020,016,9-16
Germany136,6154,4118,9143,4111,3126,1121,1117,0106,996,2166,0173,7196,557,5-71
Italy34,226,922,621,119,919,219,018,818,518,213,817,319,418,7-4
Spain11,68,28,47,88,38,58,38,48,78,86,97,88,18,21
United Kingdom40,838,835,032,733,334,437,133,634,632,229,634,835,731,0-13
Switzerland86,996,862,261,747,750,345,642,536,629,842,943,848,735,8-27
Austria13,715,110,413,010,212,210,89,78,26,211,612,214,24,1-71
Other Europe48,655,841,540,028,633,727,023,419,920,627,335,941,429,9-28
Total above3.137,33.387,63.218,74.143,93.319,53.265,92.896,72.993,33.011,82.661,22.082,53.101,03.059,43.071,40
Other & stock change124,0218,2259,8312,2279,6284,2280,0291,5329,1336,6218,0227,7252,2226,3-10
World total3.261,33.605,83.478,54.456,13.599,13.550,13.176,73.284,83.340,92.997,82.300,53.328,63.311,63.297,7-0

Sources: ICE Benchmark Administration, Metals Focus, Refinitiv GFMS, World Gold Council


APPENDIX 2 – EXECUTIVE SUMMARY

Jewellery
TonnesQ1’23Q1’24 Year-on-year % change
World total488,9479,0-2
India91,995,54
China, P.R.: Mainland195,6184,2-6
Investment
TonnesQ1’23Q1’24 Year-on-year % change
Investment275,3198,6-28
Bar & Coin303,9312,33
India34,441,119
China, P.R.: Mainland65,9110,568
Gold-backed ETFs-28,6-113,7
Central banks and other inst.
TonnesQ1’23Q1’24 Year-on-year % change
Central banks and other institutions286,2289,71
Technology
TonnesQ1’23Q1’24 Year-on-year % change
Technology71,278,610
Electronics57,164,413
Other Industrial11,711,92
Dentistry2,42,3-5
Supply
TonnesQ1’23Q1’24 Year-on-year % change
Total supply1.206,41.238,33
Mine production855,1893,04
Net producer hedging39,4-5,5
Recycled gold311,9350,812

Sources: ICE Benchmark Administration, Metals Focus, Refinitiv GFMS, World Gold Council


APPENDIX 3 – United States GOLD situation

Domestic Production and Use:

  • Estimated Domestic Production (2023): 170 tons
  • Value of Production: Approximately $10 billion
  • Key States:
    • Nevada: Leading producer with about 73% of total domestic production
    • Alaska: Second-largest producer with about 13% of domestic gold
  • Production Sources:
    • Over 40 lode mines across 11 states
    • Several large placer mines, mainly in Alaska
    • Numerous smaller placer mines, primarily in Alaska and Western States
    • About 6% from byproduct of processing domestic base-metal ores, mostly copper

Key Operations:

  • Top 27 Operations: Accounted for about 97% of the mined gold in the U.S.
  • Refineries: Approximately 15 commercial-grade gold refineries
  • Jewelry Manufacturing Hubs: Concentrated in New York, NY, and Providence, RI, with lesser concentrations in California, Florida, and Texas

Salient Statistics:

  • Production (in tons):
    • Mine Production: 2019 (201), 2020 (193), 2021 (187), 2022 (173), 2023 (170)
    • Primary Refinery: 2019 (205), 2020 (181), 2021 (181), 2022 (181), 2023 (160)
    • Secondary (scrap): 2019 (116), 2020 (92), 2021 (92), 2022 (93), 2023 (90)
  • Imports for Consumption: 2019 (199), 2020 (545), 2021 (192), 2022 (138), 2023 (200)
  • Exports: 2019 (360), 2020 (297), 2021 (386), 2022 (420), 2023 (250)
  • Reported Consumption: 2019 (151), 2020 (187), 2021 (265), 2022 (257), 2023 (250)
  • Treasury Stocks (year-end): 2019-2023 (8,130 tons)
  • Price (per troy ounce): 2019 ($1,395), 2020 ($1,774), 2021 ($1,801), 2022 ($1,802), 2023 ($1,900)
  • Employment (mine and mill): 2019 (11,800), 2020 (12,200), 2021 (12,500), 2022 (12,300), 2023 (12,000)
  • Net Import Reliance: Generally an exporter (E)

Recycling:

  • 2023 Recycling: Estimated 90 tons of new and old scrap, about 36% of reported consumption

Import Sources (2019–2022):

  • Ores and Concentrates: Canada (99%), other (1%)
  • Dore: Mexico (42%), Colombia (15%), Argentina (9%), Nicaragua (9%), other (25%)
  • Bullion: Switzerland (40%), Canada (23%), Singapore (7%), South Africa (7%), other (23%)
  • Overall: Switzerland (26%), Mexico (18%), Canada (16%), Colombia (8%), other (32%)

Tariffs:

  • Gold content of silver ores: 0.8 ¢/kg on lead content
  • Gold content of other ores: 1.7 ¢/kg on lead content
  • Gold bullion, dore, and scrap: Free

Depletion Allowance:

  • Domestic: 15%
  • Foreign: 14%

World Production and Reserves:

  • 2023 World Mine Production: Estimated at 3,000 tons
  • Major Producers:
    • China: 370 tons
    • Australia: 310 tons
    • Russia: 310 tons
    • Canada: 200 tons
  • Reserves: Estimated global reserves at 59,000 tons

Gold Recycling and Consumption Trends:

  • Recycling Supply in Q1-2023: Increased by 7% compared to Q1-2022
  • Global Consumption Trends: Jewelry (46%), Central Banks (23%), Physical Bars (16%), Coins and Medals (9%), Electronics (5%), Other (1%)

Domestic Production and Use

Metric20192020202120222023
Mine Production (tons)201193187173170
Value of Production (USD billion)10
Refineries15
Top Gold-Producing StatesNVNVNVNVNV
Production by Nevada (%)73%
Production by Alaska (%)13%
Byproduct Production (%)6%
Top 27 Operations (%)97%
Major Jewelry Manufacturing HubsNY, RI, CA, FL, TX

Salient Statistics

Metric20192020202120222023
Mine Production (tons)201193187173170
Primary Refinery (tons)205181181181160
Secondary Refinery (tons)11692929390
Imports (tons)199545192138200
Exports (tons)360297386420250
Consumption (tons)151187265257250
Stocks (Treasury, tons)8,1308,1308,1308,1308,130
Price (USD per troy ounce)1,3951,7741,8011,8021,900
Employment (mine and mill)11,80012,20012,50012,30012,000

Recycling

Metric20222023
Recycled Gold (tons)9390
Percentage of Consumption (%)36%

Import Sources (2019–2022)

SourcePercentage
Canada (Ores & Concentrates)99%
Mexico (Dore)42%
Colombia (Dore)15%
Argentina (Dore)9%
Nicaragua (Dore)9%
Switzerland (Bullion)40%
Canada (Bullion)23%
Singapore (Bullion)7%
South Africa (Bullion)7%
Switzerland (Total)26%
Mexico (Total)18%
Canada (Total)16%
Colombia (Total)8%

Tariffs

ItemNumberTariff Rate
Precious Metal Ore and Concentrates (Silver)2616.10.00800.8 ¢/kg on lead content
Precious Metal Ore and Concentrates (Other)2616.90.00401.7 ¢/kg on lead content
Gold Bullion7108.12.1013Free
Gold Dore7108.12.1020Free
Gold Scrap7112.91.0100Free

Depletion Allowance

TypePercentage
Domestic15%
Foreign14%

World Mine Production and Reserves

CountryMine Production 2022 (tons)Mine Production 2023 (tons)Reserves (tons)
United States1731703,000
Australia31431011,200
Brazil61602,400
Burkina Faso5860NA
Canada2062002,300
China3723703,000
Ghana88901,000
Indonesia1051102,600
Kazakhstan1151301,000
Mali6460800
Mexico1201201,400
Peru97902,300
Russia31031011,100
South Africa891005,000
Tanzania5760420
Uzbekistan1041001,800
Other7267009,200
World Total3,0603,00059,000

World Resources

Resource TypeMetric Tons
Identified Gold Resources15,000
Undiscovered Gold Resources18,000
Total US Gold Resources33,000

Substitutes

MetalUse Case
PalladiumElectrical and electronic products
PlatinumElectrical and electronic products
SilverElectrical and electronic products

This detailed table captures the essential analytical values and technical data regarding gold production and use in 2023

SOURCE: U.S. Geological Survey, Mineral Commodity Summaries, January 2024


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