China is the world’s top consumer, producer and importer of gold. At the heart of the Chinese gold market lies the Shanghai Gold Exchange (SGE), the largest physical spot exchange in the world. Gold trading volumes on the SGE exceeded 67,500 tonnes in 2018, worth more than RMB 18.30 trillion, with over 11,600 tonnes delivered.
The SGE was established by the People’s Bank of China in 2002 and continues to be regulated by the central bank. In 2014, the SGE incorporated the Shanghai International Gold Exchange (SGEI) within the China (Shanghai) Pilot Free Trade Zone (Shanghai FTZ), creating the International Board (IB) of the SGE.