World Silver Association: Investment growth will keep global silver demand steady in 2026.

The World Silver Association said on Tuesday that global silver demand is expected to remain stable in 2026, with the growth in retail investment offsetting most of the losses in industrial, jewelry, and silverware demand. The price of silver is currently around $81 per ounce, up 14% so far this year. Earlier, on January 29, the silver price hit a record high of $121.60 due to frenzied buying on the retail side. The price of silver in 2025 rose by as much as 147%. However, the World Silver Association, based on preliminary estimates provided by consulting firm Metals Focus, pointed out that the silver market is facing its sixth consecutive year of structural shortages, with a current estimate of a deficit of 67 million ounces, which will be updated in mid-April. The organization did not disclose data for 2025. Last April, it had predicted a deficit of 117.6 million ounces for 2025. The association stated that industrial silver processing is expected to decrease by 2% in 2026, reaching a four-year low of 650 million ounces due to cost-cutting measures and the use of alternative materials in the photovoltaic field. Jewelry demand is forecasted to decrease for the second consecutive year, falling by 9% to 178 million ounces, the lowest level since 2020, due to record prices impacting demand in major markets like India. Silverware demand is expected to decline by 17%, with the Indian market seeing the most significant decrease. In contrast, physical investment is expected to grow by 20% to reach a three-year high of 227 million ounces, with a recovery in such demand in Western countries after three consecutive years of decline. Global silver total supply is expected to increase by 1.5% to reach a 10-year high of 1.05 billion ounces. Mine production is forecasted to grow by 1% to reach 820 million ounces, while recycling is expected to increase by 7%, surpassing 200 million ounces for the first time since 2012.