China also controls silver exports…Will prices rise further amid supply shortages?
공유하기
- China implemented silver export controls, saying that silver has been included in the national strategic resources list.
- Foreign experts said this measure could increase concerns about supply shortages in the international silver market.
- They said that, with last year's rise in silver prices already notable, the additional controls are expected to further increase market uncertainty.
- The article was summarized using an artificial intelligence-based language model.
- Due to the nature of the technology, key content in the text may be excluded or different from the facts.
Included in the national strategic resources list
Same controls applied as for rare earths
China began controlling silver exports on the 1st. It has applied controls to silver comparable to those for rare earth exports. There are concerns that the international silver market could face supply shortages.
According to foreign media including the Hong Kong South China Morning Post (SCMP), the previous day China's Ministry of Commerce released the 'List of Goods Subject to Export License Management for 2026,' which will take effect on January 1 this year, and included silver. The ministry had initially announced in October last year that it planned to restrict exports of silver along with tungsten and antimony, which had been under export control.
The newly introduced silver export controls replace the quota system implemented in 2000. Companies granted export permits must meet strict criteria, such as proving they exported silver every year from 2022 to 2024.
Securities Times, affiliated with the People's Daily, said, "The new silver export control policy means that silver has officially been included in the national strategic resources list and its status has been elevated from a 'general commodity' to a 'strategic material'," adding that "silver export management is at the same level as rare earths." SCMP, citing experts, interpreted that "this export control measure is intended to meet demand related to solar and electric vehicles within China."
China is one of the world's largest silver producers with strong refining and processing capabilities. Its reserves are also among the world's largest. From January to November last year, China's silver exports were 4,600t and imports were 220t. Silver is a precious metal and an industrial material widely used in electronic circuits, batteries, solar panels, and medical devices. In November last year, the United States added silver to its list of 'critical minerals' deemed essential to its economy and national security, alongside copper, uranium, and others.
Foreign companies are worried about China's silver export controls. Last year, silver prices surged by more than 150%, and with China implementing export control measures, concerns about supply shortages in the market could grow. Spot silver prices briefly topped $80 per ounce for the first time at the end of last month before falling and are currently trading in the $70 range.
The European Union Chamber of Commerce in China said that in a survey of its members conducted in November last year, the majority of respondents said they had "already been affected by or would be affected by China's export controls."
Reporter Dong-hyun Kim 3code@hankyung.com
