Gold Supply and Demand

Where does gold come from, and who buys it? The U.S. Geological Survey (USGS), a federal science agency, publishes a yearly summary with answers. This page walks through its 2026 summary, in which 2025 figures are estimates, and explains what the numbers can and cannot tell an IRA saver. It is part of our gold basics hub.

This page explains data. It does not predict gold prices, and it does not say whether to buy gold.

How much gold is mined, and where?

USGS estimates world gold mine production at 3,300 metric tons in 2025, compared with 3,280 in 2024 (USGS). The five largest producers it lists:

USGS says these five countries together accounted for 41% of 2025 world output. It puts world gold reserves, as USGS reports them, at 66,000 metric tons, with Russia largest at 12,000 (the amount USGS counts as reserves). For the U.S., USGS estimates mine output at 160 tons in 2025, valued at $17 billion, with Nevada supplying about 64% and Alaska about 22%. For the unit behind the price figures, see our troy ounce guide.

What about recycling?

USGS reports a recycling figure only for the United States: "In 2025, an estimated 90 tons of new and old scrap was recycled, equivalent to about 60% of reported consumption." That is a U.S. statement, not a world one. The summary contains no worldwide recycling figure, so we do not give one.

Who buys gold?

USGS reports global consumption by category, excluding exchange-traded funds and similar investments:

The shares add to 100%. Two lines of the table concern investors. USGS lists physical bars as a separate category. Central banks and other institutions are a separate category. USGS also says that in the first nine months of 2025, "gold holdings in central banks decreased by 13%," while "global investments in gold-based exchange-traded funds and similar investments were 619 tons," more than 25 times the level in the first nine months of 2024. We quote the USGS wording and have not reconciled it with other sources. For central bank data from other sources see our central bank gold guide.

What does the price history show?

USGS lists annual average gold prices in dollars per troy ounce, from "Engelhard's average gold price quotation for the year." The 2025 figure is USGS's estimate based on January through November data.

USGS says the estimated 2025 price increased by 38% and "reached a new record-high annual price." It describes the Engelhard daily price as increasing in the first and second quarters, decreasing at the beginning of the third quarter and increasing into the beginning of the fourth. These are past facts. They are not forecasts.

How do supply and demand relate to the price?

The USGS summary reports quantities and prices side by side but does not explain which drives which, and we do not claim a causal story. See our what drives gold prices and gold in recessions pages.

What does this mean for IRA holders?

• Physical products are one slice of demand. USGS counts physical bars and official coins as categories separate from jewelry and technology.
• Costs sit on top of the metal price. FINRA and the CFTC say dealers sell above the spot price, that spreads can be large, and that storage, insurance and administrative fees are other costs (FINRA and CFTC). See spot price.
• Silver differs. USGS's silver summary lists estimated domestic uses of electrical and electronics 25%, other industrial uses and photography 19%, net physical investment (bars) 18%, photovoltaics 15%, coins and medals 14%, jewelry and silverware 6% and brazing and solder 3% (USGS silver). See the gold-to-silver ratio page.

What are common mistakes?

• Treating estimates as final. USGS marks 2025 as estimated.
• Assuming U.S. recycling or production figures describe the world.
• Reading a table of past prices as a signal about the future.

This page is general information about published data. A qualified financial adviser can discuss how it relates to your situation.