Comment 
China has reportedly overtaken the United States to become the second biggest market in the world for gold and gold jewelry, according to new figures from the Shanghai Gold Exchange.
A report from the Shanghai Gold Exchange showed sales of gold and gold products on the Chinese mainland reached a record high in 2007 at 316.49 trillion yuan (US$44.3 trillion). This was up 62.51% over 2006 and accounted for 326.1 tonnes of gold.
China has seen a boom in jewelry sales. The Federation of the Swiss Watch Industry recently reported a 43% rise in demand for luxury watches from China, the biggest increase in the world. The Chinese market for these items is now worth 577.6 million Swiss francs (US$540 million).
Earlier this year, China also became the world's top gold producer, ending South Africa's 102-year reign, according to figures from precious metals consultant GFMS.
- luke
