Updated – 13 Dec 2025
For decades, silver in India was a symbol: of dowry, adornment, and saving during droughts. But today, it’s being reinvented – quietly, almost invisibly – inside solar panels, electric vehicles, power grids and high-tech circuits.
What was once “common man’s gold” is transforming into an industrial backbone metal. Behind this transformation lies one of India’s most consequential strategic bets: balancing energy transition, import dependence, and manufacturing ambition.
Using global reports, industry data, and domestic signals, this story traces how silver’s industrial demand is rising, why it matters, and whether India is ready for the surge.
The Industrial Turn: Why Silver Matters in Energy & EVs
Silver is no ordinary metal. Among all conductive metals, it has the highest electrical conductivity. This one single advantage gives it a permanent role in:
- Solar photovoltaic (PV) cells
- EV power electronics and wiring
- Charging infrastructure
- Power grids, sensors, and advanced electronics
places where efficiency, reliability, and longevity define performance. Global industrial consumption is now the driving force in the silver market.
In 2025, global industrial demand for silver is forecast at around 677 million ounces (Moz), remaining near record levels, with electronics, power infrastructure, and EV-related applications continuing to anchor demand even as photovoltaic usage sees slight efficiency-led moderation.
Global Silver Demand by Segment (2025F)
| Segment | 2024F Demand (Moz) | Share of Total (%) | Key Uses |
|---|---|---|---|
| Industrial Fabrication | 677.4 | 59% | PV, EVs, electronics, catalysts |
| Jewelry | 196.2 | 17% | Consumer adornment |
| Silverware | 46.0 | 4% | Traditional & ceremonial |
| Investment (Bars, Coins, ETFs) | 274.4 | 24% | Retail & institutional holdings |
| Total | 1,148.3 | 100% | — |
Note: One million troy ounces (Moz) of silver equals approximately 31.1 metric tonnes, or 31,103 kilograms.
So, around 677.4 Moz of global industrial demand in 2025 equals roughly 21,070 tonnes of silver – illustrating how massive the industrial use of the metal has become.
Quick Reference Conversion Table
| Silver Quantity | Equivalent (metric tonnes) | Equivalent (kilograms) |
|---|---|---|
| 1 Moz | 31.1 t | 31,103 kg |
| 10 Moz | 311 t | 311,000 kg |
| 100 Moz | 3,110 t | 3.11 million kg |
| 677.4 Moz (2025 industrial use) | ≈21,070 t | ≈21.07 million kg |
Industrial Demand Rising Within Total Demand (2016–2025F)
Industrial usage has been expanding steadily within the global silver balance – from around 45% of total demand in 2016 to over 58% by 2024, and is projected to approach ~59% in 2025.
Despite a modest contraction in total silver demand in 2025, industrial fabrication remains near record levels, reinforcing its position as the dominant structural driver of silver consumption worldwide.
The table below shows how industrial applications have become the dominant consumption driver over the past decade.
| Year | Industrial Demand (Moz) | Total Global Demand (Moz) | Industrial Share (%) |
|---|---|---|---|
| 2016 | 489.5 | 1,083.6 | 45% |
| 2017 | 526.4 | 1,013.0 | 52% |
| 2018 | 524.2 | 1,017.6 | 51% |
| 2019 | 523.5 | 978.0 | 54% |
| 2020 | 509.7 | 896.1 | 57% |
| 2021 | 561.3 | 1,032.6 | 54% |
| 2022 | 588.3 | 1,242.4 | 47% |
| 2023 | 654.4 | 1,176.3 | 56% |
| 2024 | 680.5 | 1,164.1 | 58% |
| 2025F | 677.4 | 1,148.3 | 59% |
Note: 2025 values are forecasts.
Solar & EVs: The Twin Engines of Structural Demand
Solar Photovoltaics
According to the World Silver Survey 2025, solar photovoltaics remain one of the largest and most structurally important sources of industrial silver demand, accounting for a substantial share of electrical and electronics consumption.
Technological advances such as silver-coated copper powders and zero-busbar designs are reducing the amount of silver required per solar cell. However, these efficiency gains are being offset by scale. Global solar installations continue to rise sharply, keeping absolute silver demand from PV elevated.
In simple terms: less silver per panel, but far more panels overall.
Electric Vehicles & Automotive Electronics
At the same time, automotive and EV-related applications are emerging as a parallel long-term growth engine. Silver is increasingly embedded across:
- Power electronics and inverters
- Battery management and thermal systems
- Sensors, switches, and relays
- Heating elements and conductive inks
As vehicles electrify and digitalise, silver becomes part of the vehicle’s nervous system. This demand is spread across many components, making it structural rather than speculative.
Together, solar and EVs show how the energy transition is reshaping silver demand, shifting it from a cyclical industrial input to a strategic material underpinning electrification and clean-energy systems.
India’s Position: Import Dependency Meets Opportunity
India is not a major silver miner. Over 80% of India’s silver is imported.
To meet rising industrial and investment demand, imports have surged, driven by solar, electronics, and jewelry fabrication. But global supply is tightening, leading to temporary shortages and high domestic premiums – especially during festive seasons like Dhanteras.
But imports alone won’t solve the challenge – global supply is tight, and India competes in a global scramble. In 2025, India experienced periods of tight availability and elevated domestic premiums during the festive season, driven by high international prices and constrained global shipments.
Meanwhile, India’s solar ambition adds another layer of demand: installed solar capacity has now crossed 100 GW, and historically, each gigawatt of solar capacity has required significant quantities of silver, though intensity per unit is now declining due to thrifting and new cell designs.
Thus, each new GW of solar capacity or each EV rollout translates to tons of silver consumed in wires, pastes, connectors, and cells.
India’s Silver Demand and Imports (2018–2024F)
| Year | Total India Silver Demand (Moz) | Silver Imports (Moz) | Key Commentary (from WSS 2024) |
|---|---|---|---|
| 2018 | 77.6 | 37.0 | Demand recovery after demonetization; strong jewelry/silverware consumption. |
| 2019 | 80.5 | 54.0 | Steady fabrication and retail investment. |
| 2020 | 42.6 | 8.7 | COVID lockdown impact; imports and trade collapse. |
| 2021 | 89.8 | 27.6 | Fabrication rebounds; imports normalizing. |
| 2022 | 196.2 | 79.4 | Record imports amid investment and solar growth. |
| 2023 | 160.5 | 111.7 | High inflows; elevated bar & coin demand. |
| 2024F | 170.0 | — | Forecast of steady industrial and jewellery demand. |
Source: This table is based on the latest India-specific silver demand and import data published in the World Silver Survey 2024 (Metals Focus). India’s silver demand and import figures for 2025 will be updated once the corresponding India tables are published in the World Silver Survey 2025.
India’s New Silver Layer: Financialisation, Electronics & Technology
India’s silver story no longer ends with physical imports.
Silver exchange-traded products (ETPs), launched only in January 2022, have seen rapid adoption. By 2024, holdings had surged to 38.6 Moz (around 1,200 tonnes), with annual inflows equivalent to over 40% of India’s retail silver investment. The number of silver ETPs has tripled in just two years, expanding access via exchanges and mutual-fund-linked structures.
At the same time, India’s electronics, data-centre, and AI-linked infrastructure is expanding rapidly. While AI does not consume silver directly, its hardware backbone – servers, power management systems, cooling infrastructure, connectors, and high-reliability electronics – intensifies silver usage across the value chain.
Silver in India is therefore being imported, consumed, and financialised simultaneously – a rare combination that amplifies both opportunity and volatility.
From Numbers to Reality: How Much Silver Does Solar & EV’s Use?
Looking ahead, scenario-based estimates suggest that by 2030, the global photovoltaic (PV) industry could consume 10,000–14,000 metric tonnes of silver annually (roughly 320–450 million ounces). While outcomes depend on technology choices and efficiency gains, this range highlights the potential scale of solar-related silver demand and the pressure it could place on supply if mine output and recycling lag.
This perspective is grounded in recent trends. Global industrial silver demand reached a record 680.5 million ounces in 2024 and is forecast to remain near record levels at around 677 million ounces in 2025. Within this mix, automotive and EV-related applications are emerging as a long-duration growth engine, with silver increasingly used in power electronics, battery systems, sensors, and charging infrastructure applications that could rival photovoltaic demand over time.
Near-term dynamics reinforce this scale effect. China’s surge in solar-cell exports in early 2025 has amplified global silver consumption, with ripple effects reaching markets like India, where solar manufacturing, grid expansion, and EV assembly are accelerating in parallel.
In short, every new gigawatt of solar capacity or million EVs deployed embeds additional kilograms of silver into the economy, turning a traditional ornamental metal into a critical industrial input.
IndiaGraphs Insight: Why This Changes the Silver Paradigm
1. Industrial demand is no longer niche.
Before, silver’s value lay mostly in jewellery, coins, and savings. Now, the engines of demand are PV modules, EV systems, IoT, semiconductors – all growth sectors in India’s industrial push.
2. Deficit is likely structural.
When industrial demand is rising steadily, and silver supply is constrained (much is produced as a byproduct of mining for other metals), deficits could persist.
3. Rupee and imports amplify the effects.
Because India imports the metal, any rupee weakness magnifies local costs – making industrial silver more expensive domestically.
4. A new category: Strategic metal + investment asset
Previously, silver’s investment demand was separate from industrial demand. Now, the two are merging. Buyers are not just investors or hobbyists – manufacturers, tech firms, and solar project developers are buyers too.
What India Should Watch – Risks, Catalysts & Scenarios
Risk Factors
- Supply constraints & mining limitations – Much of the world’s silver is mined as a byproduct of other metals, so expanding supply quickly is difficult.
- Technological substitution or “thrifting” – Manufacturers are finding ways to reduce silver content in solar cells or replace it with cheaper materials.
- Policy distortions & trade barriers – Export restrictions, tariffs, or supply-chain disruptions could limit India’s access to imported silver.
- Over-optimistic forecasts – Demand growth might slow if new technologies reduce silver usage per unit of output.
Catalysts to watch
- Green Push & Target Renewables – India’s policy focus on solar, EVs, and hydrogen enhances demand.
- Structural supply deficit:The Silver Institute expects the global silver market to remain in deficit for several years – supporting higher prices.
- Auto and EV expansion domestically – Every EV built in India may contain grams of silver in wiring, sensors, battery connectors, etc.
- Manufacturing localization – As India develops solar and EV component factories, it transitions from being a consumer of silver to a user and value creator.
IndiaGraphs Projection: Silver Demand 2030 Scenario
Looking ahead, IndiaGraphs models three possible demand outcomes based on current industrial growth trends.
If industrial demand in solar and EVs grows at 10–12% annually (in line with 2024–25 trends) and technological substitution remains modest, India could be entering a new phase of structural demand.
- PV demand alone could reach 10,000–14,000 tonnes annually by 2030.
- EV and electronics consumption may match or surpass PV demand, as electrification deepens.
- Domestic silver use could triple, turning silver from a complementary metal into a strategic industrial input.
- Rising imports might pressure India’s trade balance or raise project costs in renewables and mobility.
If these trends persist, silver could transition from a co-material to a core material in India’s energy and manufacturing economy.
Final Thought
Silver isn’t just shining now – it’s working.
Its journey from temple decoration to wiring in electric cars mirrors India’s own transition from tradition to technology.
For India, investing in silver demand through EVs and solar isn’t a passing trend – it’s a strategic lever driving the nation’s industrial and energy ambitions.
If you build 100 GW more solar or 50 million EVs, you also build tons of silver consumption. The metal’s future isn’t just financial – it’s foundational.
Silver’s evolution from ornament to engine captures the essence of India’s economic transformation – where tradition fuels technology.
Source: The Silver Institute, World Silver Survey 2024/2025
FAQs on Silver Demand, Supply & India’s Industrial Shift
Why is silver demand rising globally?
Global silver demand is being driven by the energy transition – especially solar photovoltaics (PV), electric vehicles (EVs), and electronics.
Silver’s unmatched electrical and thermal conductivity make it essential for solar cells, battery connectors, and semiconductors
How much silver does India consume?
India’s total silver demand has more than doubled since 2018, reaching around 170 Moz in 2024F.
India now makes up 14-15% of global silver demand, driven by solar installations, jewelry, and investment bars.
How dependent is India on silver imports?
India imports over 80% of its silver needs, as domestic mining is limited.
In 2023, imports crossed 110 Moz, one of the highest levels on record. Rising industrial demand in solar and EV sectors is likely to push imports even higher in coming years.
What does the future of silver look like for India?
If industrial silver demand grows by 10–12% annually, India could see domestic silver use triple by 2030, making it a strategic industrial metal rather than just an ornamental one.
However, supply constraints and import dependence remain major challenges.
