On November 19th in Beijing, at the 2020 China Jewellery Industry Capital Forum-Gold Market Development Forum and the Launch Event of “24K Hard Gold Jewellery Industry Standard” Advocate, the five major gold industry associations and the five leading gold jewellery retail companies joined hands with various participating organizations and launched the Advocate together, to vigorously promote the standardization process of 24K hard gold products.
In recent years,24K hard gold products have been increasingly popular among manufacturers and retailers. 24K hard gold products have attracted many fashion-pursuing consumers, especially the young generation, because of their strong figurability, ability to carry more sophisticated crafts and diverse design styles. However, there is still a lack of industry standards and guidance in the production and sales process; the industry needs an authoritative and feasible industry criterion to answer questions such as what standard testing methods can be used to classify the products as 24K hard gold, how to ensure that the chemicals used in production meet the national environmental protection requirements, and how to guarantee product compliance and safety before sale, etc.
In this context, the first industry standard “24K Hard Gold Jewellery Industry Standard” (hereinafter referred to as the “Standard”) came into being. The “Standard” was jointly drafted by the five major industry associations (Gem & Jewellery Trade Association of China, China Gold Association, Shanghai Gold & Jewellery Trade Association, Shenzhen Gold & Jewellery Association and World Gold Council), aiming at formulating detailed provisions on the requirements, test methods, inspection rules and labelling, packaging, transportation, storage and safe production of hard gold jewelleries. The five leading gold jewellery retail companies (Caibai, Lao Feng Xiang, Yuyuan Jewellery, China Gold and Chow Tai Fook) actively participated from the perspective of industry players, offered feedbacks on commonly seen problems in the market and pain points of the industry, and made many valuable contributions to the timely release of this “Standard”.
At the launch event, many participating companies of the “Standard” unanimously expressed their determination to strengthen self-regulation and standardization of the industry. With the upgraded consumption in the jewellry sector, the new generation of consumers, represented by the millennials and “Gen Z”, has gradually become the dominant force and the most influential consumer group in the market. Whether or not a brand can meet the individual needs of the young consumers has become a key to the future development of the brand.
Mr. Roland Wang, Managing Director of the World Gold Council China, believes that the “Standard”, as the industry’s first normative document for 24K hard gold jewellery, has a positive effect on the market that should not be underestimated. He hopes that with the light weight, exquisite craftsmanship and fashionable design of 24K hard gold, gold jewellery companies will be encouraged to develop product lines that meet the consumer needs and consumption scenarios of the post -90s and -00s, thus create new growth space for gold jewellery.
Mr. Bi Lijun, Vice President and Secretary-General of Gems & Jewellery Trade Association of China (GAC) said, “compared with the relatively traditional gold industry, the technological innovation of hard gold presents both opportunities and challenges. GAC hopes to give full play to the cohesion and influence of industry organizations, not only to lead industrial development at the forefront of innovation, but also to serve enterprises well, thus establishing a normalized communication platform for the industry."
Mr. Zhang Yongtao, Vice President and Secretary-General of the China Gold Association (CGA), said, "At the beginning of 2020, the CGA organized both upstream and downstream enterprises in the industry to draft the ‘Group Standard on Hard Gold’, which sets out clear requirements on more than 20 aspects such as raw materials, appearance quality, gold content, Vickers hardness, harmful elements, and quality tolerances. Since its implementation in July this year, it has played an effective role in standardizing the quality of hard gold jewelry products as well as reducing consumer disputes and further tapping the potential of gold jewelry market. To expand the positive effect of standardization to the industry, CGA is willing to share its achievements and experience with the the team of ‘24K Hard Gold Jewellery Industry Standard’, and work jointly with Gem & Jewellery Trade Association of China, Shanghai Gold & Jewellery Trade Association, Shenzhen Gold & Jewellery Association and World Gold Council in developing the hard gold market in China.”
At the end of the event, Ms. Li Suqing, Secretary-General of the National Technical Committee on Jewellery of Standardization Administration of China, introduced in detail the core points of the “Standard” draft and the process of its registration at the Ministry of Industry and Information Technology. She said that the “Standard” will provide an accessible and feasible guidance for consistent innovation and development in the 24K hard gold industry, and sustain healthy competition in the broader jewelry industry.
Participants have agreed that as China is entering a new era of economic and social development, and while the whole industry is making efforts to actively build up new pattern of “dual circulation” in an innovative way, to promote the standardization of product categories is an important part of ensuring the active and orderly development of the industry. The initiation and formulation of the “Standard” has greatly promoted the adaptability of the gold jewellery supply system to the domestic demand in China, and also reflected that the gold jewellery industry’s practical efforts in following the internationally accepted environmental, social and governance (ESG) performance standards and actively expanding the international influence of China's gold industry.