SHANGHAI - The Chinese gold market has transformed from being a follower to a leader in several key areas and is set to continue driving innovation in the global gold market for years to come, said David Tait, Chief Executive Officer of the World Gold Council (WGC).

Tait made the remarks at the two-day 2024 China Gold Congress held in Shanghai from July 27 to 28.

Since the early 1990s, China's demand for gold has seen steady growth, culminating with the establishment of the Shanghai Gold Exchange in 2002, a significant milestone, he said.

"Thanks to strong Chinese economic growth over the past decades, China has secured a leading position in the global gold market. For over 10 consecutive years, China has been the world's largest gold consumer, and for an impressive 15 consecutive years, it has been the world's largest gold producer," he said.

This achievement highlights China's crucial role and influence in shaping the future of the global gold industry, said Tait, who expected the Chinese gold market to continue driving innovation in the global gold market for years to come, especially in key areas such as Gold Bar integrity, digitalization and responsible supply chains and artisanal mining.

According to data released at the 2024 China Gold Congress, China's gold output in the first half of 2024 reached 179.634 tons while gold consumption reached 523.753 tons.

Gold has had an exceptional year with the price in US dollars rising 12 percent in the first half of this year, driven by sustained central bank purchases, robust consumer demand in Asia, burgeoning global debt and geopolitical uncertainties, said Tait.

According to the June 2024 Central Bank Gold Reserves Survey released by WGC, 29 percent of central banks plan to further increase their gold reserves within the next 12 months, the highest level observed since 2018.

The 2024 China Gold Congress, co-hosted by the China Gold Association and World Gold Council, attracted about 2,000 participants from home and abroad.