China Gold Imports Hit 26-Month High in May, up 76% Year to Date

China imported about 163 tonnes of gold in May, the highest monthly total in 26 months, according to customs data, a sign of steady physical demand from the world's largest bullion market even with international prices well below their early-2026 peak.

Imports for the first five months of 2026 rose to roughly 692 tonnes, up about 76% from the same period a year earlier. Chinese buying is a major driver of global physical demand and can absorb metal when investor sentiment weakens elsewhere.

The May volume was the strongest since March 2024. Gold traded about 25% below the highs reached earlier in 2026, so buyers stepped in during a correction rather than retreating as prices fell.

That points to firm demand from Chinese households, banks and bullion distributors. Analysts have tied the rebound to lower global prices, a stronger yuan that improved import economics, and continued retail interest through gold accumulation plans offered by domestic banks.

Import licensing also played a part. China's gold imports are tightly managed through quotas and permits tied to commercial banks. A new licensing regime that took effect on June 1 was seen by some market participants as encouraging banks to use existing quotas and secure metal ahead of the change, with some shipments likely showing up in May customs data because of clearance timing.

The strength arrived while macro factors, including U.S. rate expectations and dollar strength, continued to weigh on bullion prices. That has split softer price action in paper markets from steady physical buying in Asia.

Strong physical imports do not by themselves reverse a price decline driven by monetary policy or exchange rates, but they can provide support by tightening available supply and redirecting flows toward Asia.

The figures also show the limits of using Hong Kong trade data as a stand-alone gauge of Chinese demand. Hong Kong-channel imports fell in May even as China's total customs-recorded imports climbed to a two-year high, reflecting the country's broader sourcing channels.

The trend matters for gold producers, though the data does not point to any one listed company. Higher Chinese imports can support realized prices and keep physical market conditions firm.

The customs figures make one point clear: Chinese buyers increased purchases into lower prices, and that demand is now part of the market's floor as bullion trades below its highs.