London — Gold jewellery sales in number one market China are finally picking up after years of decline, but consumers are still shying away from platinum. Chinese jewellery sales are a main component of global demand for both physical gold and platinum, accounting for 14% and 16% of consumption respectively. Since peaking in 2013, both have fallen by about a third. Analysts and jewellers report that a lack of trust in platinum, as well as the higher cost of exchanging platinum pieces for cash, make it a less appealing store of value for older buyers. Fashion conscious young consumers are favouring lower purity gold for day-to-day wear. "Chinese people traditionally prefer gold," said Wang, a sales associate in central Beijing at Caibai Jewelry, which has stores across China’s northern regions, and who declined to give her first name. "Gold sales are much better than platinum because it is a hard currency that can be changed into cash at any time, if there is an emergency." According...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.