Investors couldn’t get enough of steel of a certain value in 2024. For most of the year, the value of gold continued to rise, attracting interest from all corners of the market: individual investors, financial institutions and major players on Wall Street.
However, exploiting this coveted resource requires abundant efforts and specialized operations around the world. As costs and demands rise, it is critical for investors and market observers to note which countries are leading global production.
Today’s investors also have several avenues to access gold ownership. Below, we’ll explore America’s position among the world’s top manufacturers and take a look at key investment options, adding physical gold, ETFs, and specialized retirement accounts.
Learn how gold could benefit your investment portfolio today.
According to Luciano Duque, investment director at C3 Bullion, China leads global gold production, followed by Australia, Russia and Canada, before the United States rounds out the top five.
Here’s how each country contributes to the world’s gold supply and what shapes America’s position in these rankings:
According to the latest data from Investing News Network (INN), China is the largest gold producer in the world. It mined approximately 370 metric tons in 2023. Production remained strong for more than 10 years and never fell below 300 metric tons per year. Chinese mining corporations have also expanded globally, creating new gold deposits in Africa and Asia.
Find out more about your gold investing options here.
Australia lags behind China, according to INN data, and produced 310 tonnes of gold last year. It has the largest gold reserves in the world, estimated at 12,000 tons. Gold mining has played a huge role in the Australian economy, bringing in A$24 billion between 2022 and 2023.
Russia matched Australia’s gold production in 2023 at 310 metric tons. The nation’s gold industry has seen steady growth over the past seven years. While Russia controls vast gold reserves, second only to Australia, international tensions have shifted its gold trade. Many Russian mining companies now focus on selling to Asian markets and BRICS partner nations instead of traditional buyers.
Canada mined two hundred tons of gold last year. Ontario and Quebec generate most of this production, generating more than 70% of the country’s gold production. Gold remains Canada’s most valuable mineral resource and new exploration projects in British Columbia’s Golden Triangle region promise long-term growth.
The United States takes fifth place, mining approximately 170 metric tons annually, but compared to other major producers, experts say the U.S. mining faces unique challenges that stem largely from regulatory requirements. The U.S. permitting process for new mining operations can take up to five years, experts say, while other countries approve permits in just months. Multiple departments must sign off on the permits, which creates delays.
Now that we are more familiar with gold production, let’s look at other tactics for investing in this valuable metal:
Gold individual retirement accounts (IRAs) combine retirement plans with ownership of valuable metals. This allows you to build your portfolio with physical gold from classic stocks and bonds. These specialized accounts hold promise if you need tax benefits and hard assets in your retirement portfolio.
“There’s a significant tax incentive for purchasing gold within an IRA for long-term tax savings,” explains Henry Yoshida, co-founder of Rocket Dollar. While investors must work with an approved custodian and choose IRS-approved gold products, many find these extra steps worthwhile for the valuable tax benefits.
Gold bars and coins from trusted dealers are the most direct way to own gold. You get full control, with features ranging from small portions to giant ingots. There are security and insurance prices related to owning physical gold, but many investors don’t care because they prefer to have their wealth in counterfeit form.
Gold exchange-traded funds (ETFs) offer an easier way to invest in valuable steel through the stock market. These quotes track gold costs without needing to purchase physical gold. You can use your favorite brokerage account to buy and sell inventory seamlessly. Experts can suggest this street if you are looking for comfort and flexibility.
Global gold production and investment characteristics make this valuable steel available to as many people as possible. If you are new to investing in gold, it may be worth asking yourself: why do you need to invest? Answer will advise you on opting for a gold IRA, physical gold and/or gold ETF. When in doubt, share your long-term goals with a financial advisor. He will help you create a strategy that fits your investment priorities.