Silver Production and Global Trade Dynamics – Why silver will eclipse $50oz in 2025
Let’s start with Canada. Canada has been in the forefront of main stream news a lot lately. The new Whitehouse administration loves to impose tariffs on trade. The fact is that the top producers of silver globally align perfectly with top countries on the tariff hit list. Tariffs will make it tough to export products by way of make cost go up to the consumer. The perfect storm is forming….
Canada has long been a significant player in the global silver industry, consistently contributing over 1,000 metric tons annually. As the 13th largest producer of silver in 2023, Canada continues to play an essential role in the global market. Even though they are out of the top ten producers, the Canada Maple Leaf silver bullion coin is the second most popular 1 oz. silver coin on the planet. This puts Canada in the top of the food chain in this arena. Watch for spot price to jump as the calendar rolls on this year. The real sleeping giant is the premium. The price the mints will charge on top of the actual price of the silver itself. As mints produce coins and demand goes up they will naturally increase the premium. This creates a vicious cycle feeding on itself. Pushing end user prices higher. Canada is not only a significant producer but also a notable exporter of silver. In 2022, the nation exported silver worth $1.15 billion. The primary destinations for these exports in 2023 were:
- United States
- Germany
- Switzerland
Now for global Silver Production (2023, 2024 numbers are not available yet)
| Rank | Country/Region | Silver Production (tonnes) | % of Total |
| 1 | Mexico | 6,400 | 24.8 |
| 2 | China | 3,400 | 13.2 |
| 3 | Peru | 3,100 | 12 |
| 4 | Chile | 1,400 | 5.4 |
| 5 | Poland | 1,300 | 5.0 |
| 6 | Australia | 1,200 | 4.7 |
| 7 | Bolivia | 1,200 | 4.7 |
| 8 | Russia | 1,200 | 4.7 |
| 9 | United States | 1,000 | 3.9 |
| 10 | Kazakhstan | 990 | 3.8 |
| 11 | Argentina | 910 | 3.5 |
| 12 | India | 690 | 2.7 |
`Trade Challenges and Tariffs. Countries Likely to Face Tariffs
Look at the list of global producers above. It is Mexico, China then our old friends the Canadians. This liens up almost perfectly between producers and tariff targets. Read on to the next paragraph. It also lines up with the most popular bullion coins out there; Canada Maple leafs and Mexican Libertads. They are number two and three respectively. Trump will probably slap trade restriction on these countries almost immediately. Making prices go much higher.
- China:
- Reason: Trade imbalance, intellectual property issues.
- Impact: High tariffs on Chinese goods have affected global silver trade dynamics.
- Mexico:
- Reason: Immigration policies and NAFTA renegotiations.
- Impact: Tariff threats on imports.
- Canada:
- Reason: Disputes over dairy, lumber, and steel/aluminum.
- Impact: Imposed tariffs have influenced export profitability and trade strategies.
Most popular legal tender silver coins globally.
Finally take a look at the top 1oz silver coins in the world. It is somewhat amazing how they are all in the top of this tangled web. It is strange but these are the facts.
American Silver Eagles. The American Silver Eagle is the official investment-grade silver bullion coin of the United States Mint. …
Canadian Silver Maple Leafs. …
Mexican Silver Libertad. …
Somalian Silver Elephants. …
Morgan Silver Dollars. …
Austrian Silver Philharmonics
We have all of these coins available now. Plus some sleepers that should go forward in value as this year unfolds. Call us or drop us a quick email to discuss. Special arrangements for orders of 100k or more. Talk to you soon and thank you.
Trey Cox
