Zhong Guo Xin Wen Wang·2025-11-05 03:05Core Viewpoint - The new tax policy on gold, effective from November 1, 2025, is expected to significantly impact gold prices and trading behaviors in the market, leading to increased price volatility and changes in consumer purchasing patterns [1][10]. Group 1: Tax Policy Details - The announcement from the Ministry of Finance and the State Administration of Taxation categorizes gold transactions into "investment use" and "non-investment use," with different tax implications for each [1][4]. - Gold that does not undergo physical delivery will not be affected by the new tax policy, while those that do will face tax changes based on their usage classification [1]. Group 2: Price Fluctuations - Following the announcement, the price of gold at the Shenzhen Shui Bei Gold Trading Center surged from 929 yuan per gram to 991 yuan per gram, an increase of 62 yuan [2][3]. - Major retailers like Chow Tai Fook adjusted their prices significantly, with gold jewelry prices rising from 1198 yuan per gram to 1259 yuan per gram, and investment gold prices from 1058 yuan per gram to 1120 yuan per gram [3][4]. Group 3: Market Reactions - Some banks, including Industrial and Commercial Bank of China and China Construction Bank, temporarily suspended certain gold accumulation services to comply with the new tax regulations and manage potential risks associated with high gold prices [5][7]. - The new policy is expected to encourage market-oriented gold trading and may lead to a shift in trading habits, with a focus on distinguishing between investment and non-investment uses [8][10]. Group 4: Industry Implications - Analysts predict that the price gap between investment gold bars and gold jewelry may widen due to the new tax policy, as costs for non-investment gold may increase significantly [4]. - The new tax framework is anticipated to reshape the gold market's ecosystem, leading to increased concentration in trading activities and a potential shift towards exchange-based transactions for institutional investors [10].