Few metals shine like gold. A brilliance that in recent months has blinded manufacturers and jewelers. Last year, prices began to rise and, for now, there is no sign of slowing down. The revaluation of the precious metal was notable in 2025 with annual increases of 70% as geopolitical uncertainty leads investors to put their money in assets considered safe havens. At the start of 2026 this trend has continued. The price of gold reached historical highs on January 28 ($5,417 per ounce), then the price took a break and in recent weeks it has rebounded again, reaching this week at $5,082. There are many reasons for this rise. For Jordi Martret, investment director of Norz Patrimonia, the keys are in the abandonment of the dollar by many countries to diversify their reserves, the massive purchase of gold by central banks and a complicated geopolitical environment that has further exacerbated the demand for the metal as a refuge. Premises that directly affect the jewelry sector, which in Spain is concentrated in Catalonia, Andalusia, Madrid, Valencia and Galicia, with more than 63% of the total business volume. According to the latest DBK report from Informa, the jewelry and watch retail market closed 2024 with a value of 2,020 million euros in turnover. Provisional data for 2025 suggest that it will reach 2,135 million euros. A figure that is distributed between specialized chains with 60%, independent commerce that absorbs 19.1%, while large stores and other channels add up to 21%. An increasing turnover, partly due to the increase in the price of jewelry and costume jewelery which, according to the INE, was more than 30% last year. Still, Isidoro García-Escribano, president of the Provincial Association of Jewelers, Silversmiths and Watchmakers of Córdoba San Eloy, a city that accounts for 60% of Spanish production, points to a slowdown in growth and greater volatility. “In some segments and companies there is talk of adjustments of around 10%–15%, although it depends a lot on the type of product and market.” A growth in billing that sees its cross in profitability. «Manufacturers that work with tight margins or with closed contracts are the most affected. The increase cannot always be immediately transferred to the final price,» adds the president of the Córdoba employers’ association. Despite this, some brands such as Apodemia from Madrid, which works with noble metals covered in recycled 18-karat gold, have found themselves in the situation of making decisions. «Until now, we have assumed the increases without passing them on to clients, but the time has come to adjust them, because the situation has become unsustainable. Our clients understand how gold fluctuates and are loyal. We do not expect a decrease in sales,» says Jimena Von Knobloch, co-founder of the firm. In parallel, manufacturers save furniture with strategies such as purchasing the metal at the time of closing the operation, avoiding the accumulation of stock and manufacturing on demand. «If the client closes the prices upon confirmation of the order, we buy the metal at that moment, sometimes with our own funds, but most with financing. We do have more financial expenses,» says Javier Romero, CEO of Pie de Rey Designs, manufacturer and exporter of gold jewelry.
Sales and exports
And the rise in the price of gold has had a direct impact on the production and sale costs of the pieces, especially those of 18 carats (75% gold), the traditional grade that is displayed in most Spanish shop windows and the one with the highest price. «Working the same number of units now represents double the investment. If two years ago a pair of wedding rings cost between 400 and 600 euros, now they are 1,200. A price that can stop the consumer,» says Merche Navarro, president of Avajoya, Association of Manufacturers and Jewelers of Valencia, and general director of Ele Ka, a Valencian company founded in 1958 and specialized in wedding rings. A situation that could affect exports, due to that Spanish coffers brought in 537 million euros in 2024 and that it represents 0.14% of total exports, according to data from the Cotec Foundation. «At the moment there are many orders waiting. We are not stopped, but we have a lower volume of work compared to the same date last year. Even so, the positive thing is that there is still consumption,» comments the CEO of Pie de Rey Design. Despite a generally general scenario, it does not seem that everyone follows the same script. This is what Cristina Yanes, president of the Association of Jewelers, Silversmiths and Watchmakers of Spain (AEJPR) and CEO of Yanes, a jewelry company since 1881, tells it. «It is not the same to sell a low-cost or mid-range jewel as a high-end one. In a jewel of 1,000 euros the increase will be more noticeable than in one of 10,000. If gold suffers these increases, the jewelry market will suffer It hurts, but it also benefits. When it rises, it gives more status to the sector.” To the question of whether you prefer gold to rise or fall, the answer is clear. «I prefer it to go up because if it goes down, jewelry becomes costume jewelry. But, if I had a chain factory by the meter, I would prefer it to go down.»Other actors in fine jewelry such as Carrera and Carrera have not noticed a decrease in demand, although they point out that pieces dependent on the weight of the metal will be the most affected. «Yes, we have seen a change in preferences: the client is oriented towards designs with more emphasis on craftsmanship, gems or customization. Demand does not disappear, but is redistributed towards products with more added value,» emphasizes Antonio Calvo, director of operations.
Manufacture with fewer carats
Some manufacturers have chosen to charge for the work on the one hand and the metal on the other, until now within the same package. While in this second concept the profitability is zero or minimal, the manipulation of the piece maintains prices. Another way is to lower the carats. Although fine jewelry will not stop manufacturing in 18 carats, other manufacturers already do so and are looking favorably on betting on 9 carats (37.5% gold), with a proportional difference in price. «Customers demand products with an average final price between 200 and 400 euros. This in 18 carats is impossible. This year we have noticed between a 25% and a 30% increase in 9 carat pieces,» says Merche Navarro, from Avajoya. Voices are also raised asking to lighten the weight of the pieces and use base materials other than gold, such as zamac, nickel or silver, despite the meteoric rise of the latter metal. Stock management has also become a key pillar. In general, management has become more strategic and prudent. “Inventories are reduced, production cycles are shortened and more work is done to order to minimize exposure to the volatility of the gold price,” the Córdoba association argues.
