SEOUL – The Korea Minting and Security Printing Corporation (KOMSCO) has announced a temporary suspension of gold bar sales, citing a surge in demand that has outstripped the supply of raw gold materials. The move comes as global trade tensions, sparked by US President Donald Trump, have fueled a sharp increase in demand for safe-haven assets like gold.
In a public notice issued on February 11th, KOMSCO stated, "Due to issues with the supply of raw gold materials, we are temporarily suspending sales of gold bar products." The corporation assured customers that it is "making every effort to secure raw materials and will work to resume sales as soon as possible." KOMSCO also clarified that orders placed on February 10th will be processed and shipped depending on the raw material supply situation, with further updates to be provided.
The international price of gold has been on a steady rise, reaching a new yearly high of $2,911.30 per ounce on February 10th, according to Reuters. This marks the seventh such record this year. The surge in gold demand is reflected in the soaring number of gold banking accounts at major South Korean banks. As of February 10th, the total number of such accounts at KB Kookmin, Shinhan, and Woori Bank reached a record high of 277,551, a 10% increase from the previous year. Gold bar sales at these banks also saw a significant jump, with sales in January reaching 22.5 billion won ($19 million USD), a 58.4% increase from December. Sales in February have already reached 16.8 billion won ($14 million USD).
The suspension of gold bar sales by KOMSCO highlights the growing impact of global economic uncertainties on investor behavior. As trade tensions continue to escalate, the demand for safe-haven assets like gold is expected to remain high.
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