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Gold strategy: why a Chinese global network of vaults would bolster yuan’s trade role

China is building a global network of gold vaults and accelerating central bank reserve buying as part of efforts to promote the yuan’s role in…

By Samantha Johnson / August 25, 2026
China is building a global network of gold vaults and accelerating central bank reserve buying as part of efforts to promote the yuan’s role in international trade, according to an S&P Global Ratings report on Tuesday.

Chinese gold miners, such as the mainland’s largest gold processor Zijin Mining, and Shandong Gold Mining, were also expected to expand “faster than most of their global peers” after Beijing reclassified gold from financial asset to “strategic mineral” in 2025, the report said.

“If you are trading in renminbi, there’s always a question as to how you are going to use the renminbi,” said Charles Chang, greater China country lead, corporates, at S&P Global Ratings. “But if that renminbi is convertible to gold, then that’s a potentially different picture. Gold is tradeable. It is usable in a lot of places.”

Mainland China launched its first offshore gold delivery vault in Hong Kong last year under an agreement with the Shanghai Gold Exchange (SGE), with Bank of China (Hong Kong) as the designated operator.

It could also attract countries looking to diversify, onshore or nearshore their gold storage to enhance control

Charles Chang, S&P Global Ratings

Alongside the launch, the SGE listed two new yuan-denominated gold contracts, which can be settled through either physical delivery or cash settlement.

Other cities under consideration for China’s vault network included gold trading hubs such as Singapore, Kuala Lumpur, Dubai, Riyadh and Moscow, the report said.

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