Silver coins’ sales by the U.S. Mint is reported to be at their highest ever. May sales were even 30% higher than April’s 2.819 million ounces, which in itself was the best ever April on record. This brings the total sale of American Eagle silver coins to 18.9 million ounces so far this year. The unprecedented high demand for silver is expected to continue.
China’s net imports of silver hit a record high of 400% in 2010 to 3,500 tonnes. India consumed about 2,800 tonnes of silver in 2010.
Silver prices almost doubled between January and April, spurred by concern about Europe’s debt crisis, higher inflation, a weakening dollar, and unrest in North Africa and the Middle East.
Global demand for silver for solar panels and hybrids cars is very much likely to grow 100% year-on-year. The green energy market has witnessed 100% strong growth year-on-year since 2000. Albanian Minerals claims that the green energy market was worth 700 billion US dollars in 2010. It’s President Sahit Muja said: ‘I predict that investments in wind and solar power will rise to $2 trillion US dollars by 2018″.
He also expresed an opinion that “Global demand for silver for fabrication of solar panels is expected to grow up to 100% year-on-year”. Global solar panel production is expected to continue to grow strongly on expectations of increased domestic and international demand. A tremendous amount of solar manufacturing capacity is expected to come on stream in China, US, EU, Germany and India in the next 5 years.
Global consumption of silver for solar panel manufacturing sector in 2010 doubled from 2009. China is a major global producer and consumer of silver-based brazing alloys. The country has some of the world’s largest manufacturing facilities for home electronics and electrical appliances, which utilize various type of silver-based solder.
Silver is used to generate electricity by reflecting and concentrating solar energy onto collectors and it is considered the best conductor of electricity. This means that electricity travels faster, while less of it is lost with silver as the conductor. The global production of solar panels and solar-powered devices has been impressive. The future for solar power looks almost limitless.
Solar power is the cleanest and cheapest form of electrical generation once installed. It’s the greenest of the green energy in the world. Silver plays an important role in collecting and concentrating the electrical current from photovoltaic cells. Another form of solar uses silver back mirrors to concentrates the sunlight.
The production and sale of hybrid vehicles has exploded in 2011.These gas/electrical battery vehicles dramatically extend miles per gallon. All car manufacturers will venture into hybrids or all-electrical vehicles manufacturing in the future. Cars electrical transmission requires silver to insure performance in batteries, contacts and switches. As the world’s best conductor of electricity, silver will play an important role in the new technology and devices developed to increase the efficiencies of the grid.
The future will require significant quantities of silver. This demand for the precious metal will exert a powerful stimulus on silver demand and prices.
