China's Gold Hoard Surpasses 30,000 Tonnes as Pricing Power Shifts East
The People's Bank of China (PBoC) has been quietly accumulating gold reserves in recent years, with official data suggesting a modest increase. However, tracking by multiple institutions reveals that actual purchases through over-the-counter channels are significantly higher, making the true scale of China's gold hoard a puzzle for market analysts.
Willem Middelkoop, founder of the Commodity Discovery Fund, estimates that total Chinese gold demand surpassed 150 tonnes in June alone. This is in stark contrast to official data compiled by the World Gold Council, which puts PBoC buying at around 15 tonnes for the same month.
Analysis from BMO Capital Markets suggests that China has accumulated roughly 30,000 tonnes of above-ground gold, well above official figures. The report estimates that the PBoC holds around 5,200 tonnes, with the remainder held in jewelry and investment bullion. This represents about 13% of the world's above-ground gold, approaching the 15% share held by the United States.
Goldman Sachs' tracking of the London over-the-counter market shows China buying more than 48 tonnes in May, while the PBoC reported only a 10-tonne reserve increase. This implies purchases at 4.8 times the official figure, with Goldman projecting full-year 2026 accumulation could reach 192 tonnes or even higher.
As its stockpile expands, China is also laying the groundwork for price-discovery influence. BMO points to Hong Kong's emergence as an international gold hub and growing liquidity in Shanghai Gold Exchange futures and over-the-counter markets.