Silver just hit $112 an ounce in Shanghai, smashing every local record and doubling its price since November. The jump has widened the price gap with the U.S., where local Chinese buyers are now paying a $9 premium over global levels. It’s no longer just a rally. It’s a physical scramble. People are lining up in Shenzhen, emptying shelves, and banks are struggling to keep up. China’s shortage of silver is no longer isolated. Refineries in Turkey are reporting zero stock for the past 10 days, especially on 10 oz and 100 oz bars. Buyers there are offering premiums of up to $9 per ounce, the same premium seen in China. Meanwhile, a recent Korea Mint sale sold out in just one hour, giving more proof that physical demand is spiraling out of control across Asia. Trump’s second term fuels a wave of silver buying across Asia The price pressure started rising right after Donald Trump returned to the White House and launched attacks on the Federal Reserve. Since early January, silver has jumped another 30%, after gaining nearly 150% in 2025. It started with Chinese buyers snapping up coins and bars, but now the hunger is spreading into India, Turkey, and the Middle East. Firat Sekerci, a bullion dealer based in Dubai, said this is the wildest buying he’s seen. Firat said Turkish refiners have had no stock for days, and demand hasn’t slowed. Because of that, banks have shifted their shipping priorities toward Turkey and nearby regions. This has led to fewer shipments reaching India, where demand is climbing again. Right now, demand in India is even hotter than it was during the Diwali buying rush last October. Back then, people bought everything ahead of the festival, while tariffs kept metal stuck in the U.S., and that drained liquidity in London. That squeeze pushed benchmark prices to levels not seen since the 1970s. But now, India is going through it again, with buyers grabbing smaller bars and coins, especially from MMTC-PAMP, the country’s biggest refiner. The company’s boss, Samit Guha, said interest hasn’t slowed. Even Elon Musk got involved in December. He posted on X about new Chinese export rules, right as silver demand started blowing up outside China. China shipped around 5,100 tons of silver in 2025 . That’s the biggest number in over 16 years, based on customs data. So while people are panicking over possible export controls, the numbers suggest things haven’t tightened just yet. But nerves are high. China has already tightened exports on other materials like antimony and rare earths, and no one’s ruling out that silver could be next. This entire shortage was kicked off by a short squeeze back in October, when local supply problems spiraled out across the globe. It’s a reminder that in this market, if China runs dry, everyone feels it. And right now, Shanghai is sucking up every ounce it can find. If you're reading this, you’re already ahead. Stay there with our newsletter .
