The photovoltaic sector has been the biggest source of silver demand growth over the past decade, but that story is changing. The Silver Institute projects PV silver demand will fall to approximately 151 million ounces in 2026, down from 186.6 Moz in 2025 and a further decline from 2024 levels. This comes even as global solar installations continue to rise, driven by aggressive thrifting and substitution.
Manufacturers have been reducing the silver content per solar cell to manage costs as silver prices surged 147% in 2025 and remained elevated in 2026. The cost pressure from silver alone has accelerated the shift toward copper-based metallization and other alternative technologies. The PV industry consumed roughly 17% of total silver demand in 2025.
The broader industrial fabrication outlook is similarly subdued. Total industrial silver demand is forecast to fall 2% in 2026 to approximately 650 Moz, a four-year low. Silverware demand is down 20% and jewellery demand is projected to fall 9% to 178 Moz.
However, investment demand is expected to rise 18% in 2026, keeping the market in deficit. The Silver Institute notes that retail investment in the US alone is expected to rebound 57% this year.
Silver buyers in the solar and electronics sectors should watch the thrifting trend closely. If alternative metallization technologies (copper-based) scale faster than expected, it could significantly reduce silver's industrial demand growth trajectory over the next 3-5 years. For now, the market remains in deficit driven by investment demand, meaning industrial buyers are competing with financial buyers for the same metal.