Six Years of Silver Deficits: What's Behind the Persistent Shortfall

The global silver market has run a supply deficit for six consecutive years, from 2021 through the forecasted 2026. The shortfall is widening, with a projected 46.3 million ounces of deficit in 2026 compared to 40.3 million ounces in 2025.

Most silver isn't mined because someone wanted silver; it's mined as a byproduct of lead, zinc, copper, and gold mining. Only about 26% of mined silver comes from mines built to produce silver itself, while the rest is recovered from ore that's being dug up for another primary metal.

A higher silver price doesn't trigger new mining activity on its own because nobody opens a mine to chase a silver rally. As a result, global mine production rose only 3% in 2025 and is forecasted to be essentially flat in 2026.