According to SMM, amid the significant surge in precious metals in 2025, the silver recycling market has seen a sharp rise in activity, with instances of inverted silver prices leading to a rush for crude silver in the market.

IC（Integrated circuits） are a crucial component of emerging electronic consumer terminals. What is the state of the integrated circuit industry chain and market size? Which process links involve the consumption of precious metal silver? What is the annual silver consumption level in the semiconductor packaging link? SMM has compiled the following information based on publicly available data and interviews.

In July 2025, silver production continued its upward trend, increasing by approximately 1.4% MoM from June. As silver prices reached new highs in July, the by-product revenue from lead smelters was substantial, leading to positive growth in silver by-product production from lead smelters.

With silver hitting decade-highs since 2012: ◼ Short-term: Position squaring by longs has intensified bull-bear battles, raising correction risks ◼ Medium-term: Structural support remains from:Tight physical supply (global inventory drawdowns)  and  ustained industrial demand (8%+ annual PV sector growth)

In June 2025, silver nitrate production declined as expected, primarily due to a drop in demand from downstream silver paste and solar cell enterprises. Overall, silver nitrate production fell by 5.8% MoM.

In June 2024, Australian mining company Latitude 66 announced the discovery of a 2.5-kilometer-long mineralized corridor containing gold, cobalt, and copper in the K6 exploration area of northern Finland. Though still in early-stage exploration, the discovery could have far-reaching implications for Europe’s ongoing efforts to secure critical mineral supply chains. From a resource, geographic, and policy standpoint, the project shows strong potential to become a key contributor to Europe’s green energy transition.

This week, silver prices surged sharply after a pullback, contrasting with gold's fluctuating performance. Domestic and overseas silver prices strengthened in tandem, attracting significant bullish capital inflows. On Wednesday, SGE Ag (T+D) prices hit a new high of 9,040 yuan/mt, while silver prices on the London Bullion Market Association (LBMA) broke through the key target of $37/oz.

In early June, silver prices surged sharply amid multiple bullish factors, breaking out of the previous rangebound fluctuation pattern. On June 5, London spot silver soared 4.5% in a single day, breaching the $36/oz mark and reaching its highest level since February 2012. The cumulative weekly gain exceeded 9% (compared to just 0.6% for gold over the same period).

Every year from June to August marks the conventional maintenance season for primary lead smelters. Most enterprises will halt equipment operations by mid-June, with production expected to significantly decrease in late June. After the maintenance, anode slime raw material inventory will gradually decrease, and precious metal production will enter the maintenance phase by month-end June. Therefore, silver production at some manufacturers may slightly decline in June, but the decline in silver production at lead smelters will mainly occur in July.