Contact us
CALL US NOW 1-888-GOLD-160
(1-888-465-3160)

Gold Demand in Tech and Industry Up for Eighth Straight Quarter

  by    0   0

Demand for gold in technology and industrial sectors grew for the eighth consecutive quarter in Q3, according to the World Gold Council Global Demand Trends Q3 report.

Overall, gold used in technological applications grew 1% to 85.3 tons in the third quarter. That marked the eighth consecutive quarter of year-on-year growth. Strong demand in the electronics sector helped drive overall industrial and tech demand for the yellow metal higher.

The traditional technology hubs of Mainland China and Hong Kong, Japan and the US all registered growth in gold volumes in Q3 — 1.9%, 1.0% and 3.0% respectively. Taiwan and Singapore registered minor falls in demand, but both they are relatively small players in the sector.

The amount of gold used in electronics fabrication increased by 2% year-on-year to 68.5 tons. The memory sector continued its recent strong performance. The WGC report estimated growth was in the range of 2-5% overall. Strong demand for servers and smartphones drove the increase. Both require ever growing amounts of memory.

The demand for printed circuit boards (PCBs) also pushed industrial demand for gold higher.  The strong market for servers supported demand, together with growth in the automotive industry and 5G infrastructure deployment. Gold used in PCBs was estimated to be 5-7% higher year-on-year.

Gold remains a key metal in R&D activities. During the recent GOLD2018 conference held in Paris last summer, over 500 attendees from around the world gathered to share their gold-based research. There were many examples of technologies moving towards commercialization.

As we’ve reported on extensively, gold is increasingly being used in the healthcare field. For instance, scientists have discovered a process using gold nanoparticles that helps reduce inflammation and speeds healing in damaged muscles. Scientists have also developed a blood test using gold nanoparticles that could help with cancer treatment. In fact, scientists have developed a number of cancer treatments using gold nanoparticles over the last few years. Scientists at UC Berkeley have developed a process using gold to repair the mutation that causes Duchenne muscular dystrophy. And earlier this year, a team of Chinese researchers announced they were able to partially restored the sight of blind mice by replacing their deteriorated photoreceptors – sensory structures inside the eye that respond to light – with nano-wires made of gold and titanium.

We generally think of gold as an investment as well as money, but it is increasingly being used to improve our quality of life and heal the sick. The use of gold in the field of medicine, and more broadly in technology and industry, will likely put upward pressure on demand for the yellow metal in the future.

Over the past decade, the tech sector accounted for more than 380 tons of gold demand annually. That’s 13% ahead of central bank purchases during the same time period.

Tech demand for both gold and silver will likely continue to increase over the next several decades. Silver demand has always been heavily influenced by industrial use, but gold is becoming more and more important in industry, especially in high tech applications. It’s important to consider these supply and demand fundamentals as you analyze the broader precious metals markets.

WhyBuyGoldNowBanner.070815.590

Get Peter Schiff’s most important Gold headlines once per week – click here – for a free subscription to his exclusive weekly email updates.
Interested in learning how to buy gold and buy silver?
Call 1-888-GOLD-160 and speak with a Precious Metals Specialist today!


Related Posts

China Greenlights Massive Increase in Gold Imports

China has opened the door to billions of dollars in gold imports. Reuters cites five sources indicating that Beijing has greenlighted the import of 150 tons of gold valued at around $8.5 billion at current prices. The report notes that China’sudden appetite for gold could potentially “support global prices.”

READ MORE →

US Government Debt Problem Even Worse Than Advertised

Through the first six months of fiscal 2021, the US government ran a record $1.7 trillion budget deficit. And there is no end in sight to the borrowing and spending. Just last month, the national debt eclipsed $28 trillion for the first time. But it’s even worse than that. A lot worse.

READ MORE →

US Stimmy Checks Support Foreign Manufacturing Economies

What do you get when you hand Americans big fat stimulus checks after decades of offshoring the country’s manufacturing economy? Massive trade deficits.

READ MORE →

Budget Deficit Surges to Record $1.7 Trillion in Just Six Months

The US government ran a budget deficit of $659.59 billion in March, pushing the budget shortfall to a record $1.7 trillion through the first half of fiscal 2021, according to the Treasury Department’s Monthy Treasury Statement. The March budget deficit ranks as the third biggest monthly shortfall in US history, driving Uncle Sam the biggest […]

READ MORE →

The Powerful Case for Silver: Free Updated and Revised Report

Silver enjoyed a brief moment in the limelight earlier this year when the so-called “Reddit Raiders” turned their attention to the white metal. The spotlight has dimmed somewhat, but there are still plenty of reasons to be bullish on silver. Our fully revised and updated The Powerful Case for Silver report provides an in-depth overview […]

READ MORE →

Comments are closed.

Call Now