Something is happening in the silver market right now that many investors have not yet fully recognized.
While trading on exchanges continues as usual, the underlying reality is shifting: Physical silver is flowing to China in large quantities and is increasingly missing elsewhere.
This is not theory. The current data makes it very clear.
Anyone looking at China’s monthly silver imports over recent years will normally see a fairly consistent pattern. Volumes fluctuate, but they typically remain within a similar range.
2026 is different. From the very beginning of the year, import levels are noticeably higher than in previous years. Then, in March, a clear breakout occurs. The curve moves sharply away from anything seen before.
That is exactly what the chart above illustrates so clearly: China is currently importing silver on a scale never seen before. And that is the key point.
What is Driving China’s Silver Buying Surge
The reasons behind this development are actually quite simple, and at the same time highly significant. On the one hand, industrial demand is rising sharply. Silver is essential in many technologies, especially in solar energy. The more solar capacity is built, the more silver is consumed.
China is pushing this expansion aggressively. In 2025 alone, the country installed around 370 GW of new solar capacity, and the IEA expects China’s growth in solar power generation to exceed the combined growth of the rest of the world in the coming years.
On top of that, there is a geopolitical wake-up call. The recent escalation around Iran and the Middle East once again highlights how vulnerable the world remains when energy and industrial systems depend on fossil fuel supply chains and politically sensitive regions. China appears to be drawing conclusions faster than many others. Energy security is no longer an abstract future topic – it has become a strategic priority, driving massive investments in power grids, storage, and renewable energy.
This is why China’s appetite for silver is more than just a commodity story. While others are still debating whether global dependence on oil, gas, and unstable regions can be reduced quickly enough, China is already acting – importing silver at a pace the market can hardly ignore.
In other words: China is not waiting for the rest of the world to fully understand what is happening. It is securing the metal now.
At the same time, more investors are rediscovering silver. With gold already at high levels, silver appears to many as the more affordable alternative.
The result is clear: Silver is being bought and it is not coming back to the market. It is consumed, processed, or held long term.
At the Same Time: Less Silver Available in the West
While China absorbs increasing amounts of silver, a different picture emerges elsewhere. Available inventories in the West are under pressure. Silver is being delivered and withdrawn faster than new supply is coming in.
This is not a one-off event. It is a trend that has been building for some time. And this is where things become particularly interesting.
It is No Longer Just About the Price
Many investors focus primarily on price. Is silver going up? Going down? Is now the right time to enter?
But in phases like this, the key question begins to shift. Not just: What does silver cost? But rather: Is there enough silver actually available?
Because when physical metal becomes scarce, that question takes on a completely different weight.
Paper Silver vs. Physical Silver: A Crucial Difference
A large volume of silver trading takes place on exchanges, but often only on paper. This works as long as there is sufficient physical metal behind the system.
But when more and more silver is removed from the market in real terms, an imbalance develops. And that is when it becomes clear what really matters: Not the number shown in an account, but the actual metal itself.
Physical Ownership is Becoming More Important Again
In phases like this, one factor becomes critical, something many have underestimated for a long time: True ownership.
Those who actually own silver – physically, clearly allocated, and stored independently – are in a fundamentally different position from those who only hold a claim to it.
This is exactly where Elementum comes in. The metal is purchased VAT-free in the client’s name, stored in high-security facilities in Switzerland, and remains available at all times.
This ensures that silver is not just a number in a system, but a real, tangible asset.
Bottom Line: The Market is Sending a Clear Signal
China’s record silver imports are more than just an interesting statistic. They show that something fundamental is shifting in the silver market. Physical metal is becoming scarcer while demand continues to rise.
For investors, this means one thing above all: It is worth looking beyond the price and focusing on the structure behind it.
Because in the end, it makes a real difference whether you are merely watching silver or actually owning it.
How can you buy precious metals cheaply and store them safely?
Elementum Deutschland GmbH, based in Sindelfingen (Germany), specializes in trading physical precious metals. Customers who purchase precious metals from Elementum Deutschland (or one of the other national Elementum companies in five European countries) can store them in the renowned high-security vaulting facilities in the St. Gotthard Massif in Switzerland at Elementum International AG.
Of course, you also have the option of purchasing gold and silver directly and having it delivered to your desired address. However, storing silver in the so-called open duty-free warehouse (“offenes Zollfreilager”) at St. Gotthard offers decisive tax advantages:
- The 19% value added tax customary in Germany is completely waived on purchases and sales – a considerable price advantage that effectively secures you 19% more silver for your money.
- If you store your silver in this high-security vault, you can sell it back to Elementum Deutschland GmbH at any time – without any bureaucratic hassle and also without VAT, as the trade takes place within the duty-free warehouse. You will receive the funds via bank wire.
- VAT is only payable when you physically remove the stored silver – either by picking it up in person (after prior notification) or by having it shipped to your address.
More silver, more return
Thanks to duty-free storage, you receive 19% more physical silver when you buy. This additional amount also participates in the performance of the silver price if it rises – a leverage effect that significantly improves your return opportunities.
About Elementum
Elementum is a second-generation, owner-managed family business. Trust, consistency, and long-term thinking are at the heart of our philosophy. The Board of Directors of Elementum International AG is composed of internationally renowned experts in the money and precious metals markets, including economists, analysts, university professors, and precious metals specialists. This in-depth expertise forms the backbone of our actions – for your security, your assets, and your future.
About the Author
Stephan Bogner
CEO of Elementum International AG
Stephan Bogner, who holds a degree in business administration, studied economics at ISM Dortmund (Germany) and wrote the university’s first thesis on precious metals as a hedge against inflation. After studying in the UK and Australia and gaining professional experience in Dubai, he took over as CEO of Elementum International AG in Switzerland in 2012. His expertise in precious metals has had a significant impact on the company’s development.
Contact
Rockstone News & Research
Stephan Bogner (Dipl. Kfm., FH)
Müligässli 1, 8598 Bottighofen
Switzerland
Phone: +41-71-5896911
Email: info@rockstone-news.com
Disclaimer: This article reflects the personal opinion of the author. Elementum assumes no responsibility for the accuracy of the content and accepts no liability for its use. This article may contain links to external third-party websites. Elementum is not responsible for the content of these external sites and expressly distances itself from all information provided there. At the time the links were created, no unlawful content was identifiable. This article does not constitute a recommendation to buy or sell. Elementum International AG is a Swiss company that specializes exclusively in the storage of physical precious metals in a high-security vault facility located in the St. Gotthard mountain massif in Central Switzerland. The Board of Directors and Executive Management of Elementum International AG have been selected solely based on their professional expertise and long-standing experience in precious metals markets. As these individuals may also be professionally active outside their roles at Elementum International AG, the company has no influence over their external activities and respects their right to freedom of expression. Therefore, the views expressed by persons working with or for Elementum do not necessarily reflect the opinion of Elementum International AG. Investments in precious metals are subject to risks, including those specific to the structure of this market. Please read our full risk disclosures and consult a licensed financial advisor before making any investment decisions. Neither the author, Elementum International AG, nor Elementum Deutschland GmbH assume any liability for actions taken based on the information provided. Past performance is not indicative of future results. The cover picture has been obtained and licenced from 123rf.com.
