At the core of China’s jewelry industry, a wave of innovation and creativity is transforming gold jewelry. Local manufacturers are leading the charge, turning traditional gold pieces into cutting-edge designs that captivate today’s consumers.
Despite ongoing economic challenges and a sluggish overall market, 24K gold jewelry continues to shine as a popular choice due to its investment value and innovative designs. According to the World Gold Council (WGC), in the first half of 2024, 24K gold products outperformed all other jewelry categories in sales, with lightweight and affordable gold pieces particularly favored.
Even as overall demand for gold declined, interest in 24K gold jewelry remained strong. The WGC’s report highlighted that economic headwinds have dampened consumer sentiment, boosting the desire for savings. In the second quarter of 2024, gold jewelry demand in China dropped by 35% year-on-year, marking the weakest Q2 since 2009. Meanwhile, gold prices reached an all-time high of $2,529.75 per ounce on August 20, 2024.
The Appeal of 24K Gold
Chinese jewelry manufacturers interviewed by JNA Asia Jewellery stated that 24K gold jewelry has captured the hearts of consumers. They view gold jewelry not just as an accessory but as a form of savings, which aligns with traditional Chinese practices.
Zhang Fan, managing director of Shenzhen Jinrui Bao Jewelry Co. Ltd., shared, “Our 24K gold jewelry production in the first half of 2024 almost matched the entire year of 2023. Customers love gold’s versatility—it can be worn daily, sold when needed, or exchanged for new designs. Consumers are drawn to its multifunctionality and value.”
Jinrui Bao primarily supplies chain jewelry brands, regional retailers, and top designer brands on e-commerce platforms.
Zhu Mengqiu, founder of Shangpin Gold Jewelry Co. Ltd., echoed this sentiment. He noted that in the face of a sluggish diamond market, an increasing number of Chinese consumers are opting for pure gold rings instead of diamond rings.
Innovative Designs
Product homogenization is a common challenge for Chinese jewelers. To stand out in the competitive market, offering unique jewelry designs is crucial. Technological advances have enabled manufacturers to use 3D and 5D hard gold production techniques, leading to more diverse designs in 24K gold jewelry, opening the door to new creative possibilities.
3D hard gold jewelry is much lighter than traditional gold, more comfortable to wear, and strong enough to hold gemstones. 5D hard gold is an upgraded version—lighter, more durable, and capable of achieving a polished, shiny surface.
Jinrui Bao specializes in 3D-printed hard gold products. Zhang Fan noted that jewelry featuring 24K gold inlaid with pearls or diamonds is gaining popularity, especially among younger consumers. “Particularly, pieces with pearl inlays, small sets, and elegant European-style designs are in high demand,” she said.
Wedding collections inspired by floral themes are also popular, with Jinrui Bao introducing pieces that highlight the beauty of orchids, camellias, and other flowers. “People love graceful, elegant floral designs, especially those with positive meanings. These designs are well-received in mainland China,” Zhang added.
Shangpin Gold's Zhu Mengqiu pointed out that colorful gold jewelry is still rare in the market, but he sees potential as young consumers increasingly seek fashionable designs. “Our target market is the younger generation who values aesthetics and quality. We focus on 5D gold jewelry, combined with colorful enamel and gemstones, featuring new and trendy designs suitable for daily wear,” Zhu said.
Shangpin Gold has a team of 10 designers and its own factory, producing 300 to 400 new products every month to maintain a competitive edge in the market.
Yijiu Jewelry Co. Ltd. showcased its versatility in 5D gold jewelry with colored gemstone inlays, including peridot, red agate, aquamarine, and tsavorite. This year, they also launched a collection featuring 24K gold with turquoise. Zuo Lijiao, head of product development at Yijiu, stated, “We excel in gemstone setting and have integrated this expertise into our 5D hard gold jewelry. Our colored gemstone gold pieces are affordable, visually striking, and meet consumers’ desire for variety, suitable for any occasion.”
A Golden Future
Looking ahead, despite uncertainties, China’s gold jewelry market remains filled with opportunities.
The WGC maintains a cautiously optimistic outlook on China’s gold retail and investment demand. While seasonal demand in Q4 may offer some support, weak consumer sentiment and the potential for rising gold prices could keep demand subdued.
Wang Lixin, CEO of WGC China, remarked, “As consumers' habits rapidly change due to technological advancements and industrial shifts, the gold jewelry retail sector must embrace new technologies and innovate existing business models, focusing on market segmentation and differentiated product needs.”
To stand out in an increasingly competitive market, Chinese jewelry manufacturers prioritize design and quality while leveraging strong production capabilities. They are also keen to explore overseas opportunities by participating in international jewelry exhibitions, thus expanding their global influence.
Zhu Mengqiu of Shangpin Gold shared, “Aside from simple, everyday styles, we also excel in creating more elaborate, high-end pieces that appeal to Western consumers. We’ve noticed significant interest from buyers in Malaysia, Singapore, the Philippines, and Dubai.”
Yijiu’s Zuo Lijiao noted that the gap between Chinese and Western craftsmanship is narrowing, and mainland jewelers have a promising future. “Frequent product updates are a significant advantage for Chinese manufacturers. We hope to bring our products to international markets through jewelry exhibitions,” she added.