Silver, Supply, and What It Means for Makers
Why Sterling Silver Prices Are Rising (and Why It’s Happening Now)
If you’ve noticed sterling silver becoming more expensive over the last year, you’re not imagining it. Silver prices have been unusually volatile, and the reasons go far beyond jewelry trends. The silver market is being shaped by global supply and demand pressures, rising industrial use, and increased attention from investors.
Because sterling silver is made of 92.5% pure silver, these shifts affect jewelers and studios quickly, often week to week, and they impact everything from sheet and wire to solder, findings, and fabrication costs.
Below is a clear breakdown of what’s driving the changes, and what it means for makers.
Industrial demand for silver is historically strong
Silver is not only a precious metal used in jewelry. It is also a critical material in modern technology because it has the highest electrical conductivity of any metal. That makes it valuable in industries like electronics, clean energy, and manufacturing.
According to the Silver Institute’s World Silver Survey, industrial demand reached record levels, supported by sectors like electronics and solar. This rising demand is a major reason silver has remained under pressure even as prices fluctuate.
In other words, the jewelry world isn’t the only one competing for silver. Manufacturing and technology also need large volumes of it.
The global silver market has been running a supply deficit
Another major factor is that the silver market has experienced multiple consecutive years where demand outpaced supply. The Silver Institute’s World Silver Survey reports a continued market deficit, meaning that total demand exceeded total supply.
When deficits persist, inventories can tighten, and markets become more sensitive to disruptions. That makes prices more prone to sudden movement, and when prices move, suppliers adjust quickly.
Supply is limited, and much silver is produced as a byproduct
Silver is not always mined as a primary metal. Much of it is produced as a byproduct of other mining operations such as copper, lead, zinc, and gold. That means silver supply does not always expand easily in response to higher prices.
The U.S. Geological Survey reports that U.S. mines produced approximately 1,100 metric tons of silver in 2024, and that much of it came from base metal operations. When base metal production slows or shifts, silver supply can be affected too.
This is one reason why silver supply can remain constrained even when demand rises.
Investor interest and market uncertainty amplify volatility
Silver is also traded globally as a financial asset, meaning investor activity can influence price movement. When markets are uncertain, precious metals often see increased attention, and silver in particular can swing more dramatically than gold.
ING’s commodity research notes that silver has been especially prone to large price swings, influenced by changing economic signals and uncertainty in market policy.
Meanwhile, the London Bullion Market Association tracks forecasts and market expectations for silver pricing and notes that industrial and investment demand are major factors influencing outlook.
Why studios feel the impact immediately
When the spot price of silver changes, it tends to show up quickly in the materials jewelers buy. Many suppliers use live market pricing or formulas tied closely to spot silver, meaning costs may update frequently.
Rio Grande publishes metal market prices and resources that track precious metal pricing as it changes. This is one of the clearest examples of how rapidly the market can influence what jewelers pay for sterling sheet, wire, findings, and more.
For makers, this means material planning matters more than it used to, especially for sterling heavy projects.
What this means for Meltdown Studio
Silver pricing and availability are out of our direct control, and shifts like these affect every studio that works in sterling.
But our commitment remains the same. We believe learning should be accessible, and that making jewelry by hand is a meaningful skill that deserves support, especially in uncertain times. We will continue doing everything we can to offer thoughtfully priced classes, plan materials carefully, and keep projects reliable and rewarding for students.
Even when metals fluctuate, the value of learning technique stays steady. Skills are something you keep forever, and they become even more powerful in a changing industry.
We can’t wait to keep making with you.
Resources to learn more
Silver Institute World Silver Survey (supply, demand, deficits, industrial use)
https://silverinstitute.org/all-world-silver-surveys-2025/
USGS Mineral Commodity Summaries Silver (production, supply structure, data)
https://pubs.usgs.gov/periodicals/mcs2025/mcs2025-silver.pdf
LBMA Forecast Survey at a glance (market outlook and demand drivers)
https://www.lbma.org.uk/forecast-survey-2025/at-a-glance
Rio Grande Metal Market Prices (how market pricing shows up in jewelry supply)
https://www.riogrande.com/metal-market-prices/