Home-Blog | 31 May, 2023

The success of the recent China International Jewellery Fair marks an uptick in confidence among the mainland’s gold and gem traders.

The Chinese government has, over recent years, rolled out new policies to promote the development of the country’s jewellery industry, including establishing the Shanghai Diamond Exchange and the Shanghai Gold Exchange, as well as revising industry standards and regulations for diamond grading and the labelling of gold and silver jewellery. Experts believe these new policies and standards will be instrumental in promoting the healthy development of China’s jewellery sector, while helping to raise the industry’s international competitiveness and boost investor confidence.

Indeed, as the economy starts to rebound, albeit not quite as quickly as was once hoped or expected, the mainland jewellery consumer market is showing signs of sustained growth, driving the industry’s development as a whole.

It was against this backdrop that some 1,000 exhibitors recently flocked to the industry’s flagship China International Jewellery Fair in Beijing, an event jointly held by the Gems & Jewelry Trade Association of China (GAC) and the National Gems & Jewelry Testing Company. Shenzhen exhibitors were in abundance, as would be expected from the largest jewellery sales and distribution hub in China.

The fair was an important window for those looking to get a better understanding of the current state of the industry, highlighting trends with jewellery lines from popular domestic brands, as well as collections that can be classified as light luxury, wedding, creative or patented original designs.

Guo Jingyu, General Manager of Shenzhen Dashitou Jewellery Company, whose specialty is unheated pigeon‑blood rubies, said that rising incomes and mainland consumers’ heightened awareness of asset value preservation and risk aversion were all adding impetus to the jewellery market. Guo, a graduate of the China University of Geosciences and an expert in jewellery appraisal, said he was convinced quality jewellery would eventually dominate the market, hence the participation of more professionals was required to provide the vitality needed for healthy market development.

One of the aims of the fair was to encourage originality, with Sun Qian, Founder of the Shenzhen Shishang Qingting Jewelry Company, explaining that, although China was a major jewellery consumption country, its overall designs still fell short of international standards. He added that plagiarism needed to be tackled and original designs better protected in order to raise the international competitiveness of the country’s jewellery brands.

The fair was divided into distinct themed zones, including a joint exhibition of independent jewellery designers staged by the GAC, a pavilion showcasing jewellery intellectual property and culture, and an area dedicated to jade. In the jadeite (feitsui) zone, an exhibitor’s video showing how to select high value‑for‑money jadeite drew large crowds.

Apt testament to the vitality of the market was the participation of numerous small outfits, with Foshan Shunde Xinyuanhang Jewelry Company presenting several eye‑catching pieces. Craftsmanship Director Yang Xiaobing explained that the company engages mainly in the processing and manufacturing of jewellery. Given that it is located in Shunde within the Greater Bay Area, it can keep abreast of the latest trends and abide by international standards in product design as well as production. Moreover, new products can be sold on the mainland, Hong Kong and Macau soon after they are made.

Dashitou’s booth, meanwhile, was filled with rubies of all sizes, with a gem the size of a soybean said to be worth as much as RMB650,000. Guo explained that compared with gold jewellery, natural gemstones have greater potential for value appreciation. Moreover, because of their small size, they are easy to carry and store and can be resold for cash anywhere in the world.

Compared with semi‑finished gemstones such as rubies, many exquisitely and innovatively designed jewellery exhibits were drawing more attention from buyers. Li Gen, a Designer with Caibai Jewelry, said the market was generally positive about the prospects of jewellery that embodies the essence of traditional Chinese culture while demonstrating a modern style. Items under the Caibai Classics brand and originally designed new items were on display. In particular, a collection that integrated traditional Chinese weaving craftsmanship with a modern design style and the Caibai IP collection, that has strong Beijing jewellery characteristics, were well received by visitors.

The driving force for growth in jewellery consumption on the mainland undoubtedly comes from demand in the wedding market, steady increases in the price of gold, diamonds and gemstones, as well as craftsmanship improvements in weight‑based gold jewellery. Growth in sales in online malls is also an important contributing factor, with online and offline jewellery sales equally vibrant.

How these areas perform over the coming months will all depend on just how fast China’s economy can rebound, now that its Covid Zero policy has ended and its borders have reopened. After all, as Dashitou’s General Manager Guo pointed out, the mainland jewellery market is quite inseparable from its overall level of national economic development.

The 2023 China International Jewellery Fair took place from 16-20 March at the China International Exhibition Center, Beijing.

All views expressed in the Market News section reflect those of the individual correspondent and any interviewees. They are neither endorsed nor verified by the Lepack.

from Lin Xu, Special Correspondent, Beijing RESEARCH.HKTDC.COM

Updated: 31 May , 2023

Hi, I’m Ethan, the Co-founder of Lepack Manufacturing .,Limited. I’ve been running a factory in China that makes display and box for over 10 years now, and the purpose of this article is to share the knowledge related to DISPLAY and Box from a Chinese supplier’s perspective.