Gold Demand Trends: Q3 2025

Gold used in industrial applications was flat y/y; continued growth in AI-related demand was offset by the knock-on impact of ongoing tariff uncertainty

• Gold used in technology fell by 2% y/y to 82t in Q3
• Electronics demand, the largest area of demand, remained flat y/y at 69t
• Demand for gold in other industrial applications fell 5% y/y to 11t, while dental demand continued its long-term decline with a 7% y/y decline. 

Electronics demand typically sees some seasonal uplift in Q3, as many major electronics companies launch new products and devices on to the market during this quarter. But this dynamic has shifted this year: the prospect of US tariff hikes encouraged a surge in demand during H1 as a pre-emptive move to avoid tariffs, and, as a result, Q3 demand was negatively impacted. 

Record gold prices continued to exert pressure on the industry, with manufacturers often compelled to identify cost savings. Thrifting and substitution efforts are reportedly accelerating, and this may have a long-term impact for gold demand across many electronics applications. 

Electronics

A flat quarter was dominated by ongoing strength in AI-related demand set against uncertainty in the broader consumer electronics market. As reported during previous quarters, AI server construction and data centre deployment continues to experience robust growth, while demand for end-user consumer products recorded only a modest recovery, constrained by persistently high inflation and geopolitical uncertainty. Research firm Omdia has reported that the five major smartphone manufacturers recorded y/y growth during Q3, but remain cautious as “economic fears and uncertainty continue to weigh on vendors’ strategic planning”.¹ Regionally, while Asian demand strengthened, a slight decline in the US, along with continued weakness in the European manufacturing industry, contributed to the overall global slowdown.

Gold used in light emitting diodes (LEDs) fell during Q3. The sector faced headwinds from a slowdown in mainstream applications, most notably the backlight sector as some manufacturers adopted conservative inventory strategies due to macroeconomic uncertainty. This translated to a small fall in panel manufacturer utilisation for the quarter, a negative trend anticipated to persist for the remainder of 2025 and further depressing the outlook for the backlight segment. The automotive sector’s continued pursuance of advanced lighting and display technologies has accelerated the penetration of mini-LEDs, eroding traditional LED uptake and negatively impacting gold volumes. Finally, growth was reported in some high-value, specialised segments, such as horticultural lighting and UV/IR LED, but this niche market expansion was insufficient to fully offset the decline in high-volume mainstream shipments.

The wireless sector returned to modest growth during the quarter as demand for mobile power amplifiers (PA) and Wi-Fi chips strengthened. Compound semiconductors are of growing importance in this sector;² manufacturers are increasingly deploying them to enter high-growth, non-PA segments such as satellites, high-altitude drones, and solar battery management modules. This is likely to support gold demand in the sector going forward.

Demand for gold in the memory sector recorded an increase during Q3. The primary catalyst for growth was the rapid expansion of AI infrastructure. A severe supply crisis in the traditional hard disk drive (HDD) market (which saw lead times increase to over 52 weeks) created a spike in demand for alternative NAND flash solutions, boosting gold usage. While some substitution pressures were reported in the DRAM sector, the ongoing widespread adoption of AI will likely remain the primary driver of growth in the memory sector over the next couple of years.

The printed circuit board (PCB) also registered growth in Q3. Strong performance was recorded in AI server infrastructure, satellite communications, consumer graphics cards, and PC market applications. AI server demand was the single most significant factor driving growth, propelling gold usage through continuous specification upgrades. The automotive market was the only major PCB segment to decline in Q3, primarily from the negative impact of high US tariffs on imported cars, and the phasing out of electric vehicle subsidies in Europe and the US, which suppressed overall automotive market momentum.

At the aggregate level, there was a mixed performance for the four major electronics fabrication hubs in Q3: Japan - 19t (-4%); US - 16t (-2%), Mainland China and Hong Kong SAR - 21t (unchanged); South Korea - 7t (+1%).

Other industrial and dentistry 

Q3 saw a 5% decline in gold used in other industrial and decorative applications (primarily in gold plating as well as in gold thread, known as jari, used in traditional Indian clothing). 

China’s relatively weak economy, and the continued trend for jewellery store closures, negatively impacted plating demand. In India the record-high local gold price had a mixed impact: higher demand for gold used in plating (as consumers shifted away from more expensive solid gold items) contrasted with a decline in jari. 

The record price further eroded gold used in dental applications, which stood at 2t for Q3.

Footnotes:

¹ Omdia.tech.informa.com | Apple hit highest ever third quarter as global smartphone market grew 3% in 3Q25 says Omdia | 14 October, 2025

²A compound semiconductor is a material made of two or more different elements, such as gallium arsenide, which is distinct from traditional semiconductors – such as silicon – that are made of a single element. These materials have unique properties that make them faster, more efficient, and better at handling high power and light than silicon, making them essential for modern technologies like electric vehicles, 5G networks, and advanced sensors.