How Much Silver is Used in Different Products
With a host of uses, silver remains one of the most versatile precious metals in the world. While it is often considered an investment asset in silver bullion bars and coins, silver’s utility extends to many industries that leverage its unique properties.
Unbeknownst to many, many of the products we come into contact with daily contain silver, albeit in minute amounts. We share in this article how much silver is used in different products.
Silver Demand and Supply in 2023
According to the World Silver Survey 2024 published by the Silver Institute, silver demand “massively exceeded” supply in 2023 for the third year. Robust industrial demand underpinned silver’s fundamentals last year, reaching a new record high of 654.4 million ounces (Moz).
With a 1% decline in global silver mine production, 2023 marked the fifth consecutive year of silver deficits. The Silver Institute attributes this decline to the four-month suspension of operations at Newmont’s Peñasquito mine in Mexico following strike action, resulting in the first drop in Mexico’s silver output since 2020.
Most silver mines are found in Central and South America. As primary silver mines are rare and silver is often mined as a byproduct of mining other metals, such as zinc and copper, mine protests and strikes can significantly curtail silver supply.
Why is Silver Used in Commercial Products and Industrial Applications?
The word 'silver' is derived from the Anglo-Saxon name 'siolfur.' Silver metal has a relative atomic mass of 107.8682 u with an atomic number of 47 and is denoted on the periodic table with the symbol 'Ag.'
Due to its exceptional properties, silver is used in a wide variety of commercial products and industrial applications. Some of these properties are unique to silver, while others combine to make silver more suitable than other metals, increasing the demand for silver. The following are useful properties of silver.
#1 – High Electrical Conductivity
Electrical conductivity is a measure of how well a material allows electricity to flow through it.
Silver has the highest electrical conductivity of any known metal, making it extremely useful for electrical and electronic applications. With a conductivity of 6.3×107 Siemens per meter (S/m), silver is more conductive than copper, which has a conductivity of 5.8×107 Siemens per meter.
Since silver is a precious metal 800 times rarer than copper in the Earth’s crust, it is costlier and is only used for important applications. This is why electrical wiring uses copper instead of silver, but the latter is used sparingly in crucial electrical contacts made with silver compounds.
#2 – High Thermal Conductivity
Thermal conductivity is a measure of how effectively a material can transfer heat. It is a critical factor in material selection for applications involving heat management, from industrial processes to everyday products.
Silver also has the highest thermal conductivity and is able to conduct heat more efficiently than any known metal. It has a thermal conductivity of approximately 429 W/m·K (watts per meter-kelvin) at room temperature.
Silver’s high electrical and thermal conductivity makes it the ideal metal for silver paste applications. For example, the automotive industry uses silver paste as defogging and heating elements in cars’ windows and mirrors. The paste is printed onto the glass, and when an electrical current passes through, it heats up, clearing fog or ice.
#3 – Reflectivity
Reflectivity measures how much light or other electromagnetic radiation is reflected off the surface of a material. It is usually expressed as a percentage, representing the ratio of reflected radiation to the total incident radiation on the material. High reflectivity means that a large portion of the incident light is reflected, while low reflectivity indicates that most of the light is absorbed or transmitted.
Silver has the highest reflectivity of all metals, reflecting nearly 95% of the visible light spectrum. It is often used in coatings for glass and optical devices.
Silver salts have played an important role in the rise of digital photography. Pure silver is dissolved in nitric acid to form silver nitrate, a silver salt that is sensitive to light. When applied to photographic film and paper and exposed to light, the silver salts undergo a chemical reaction that changes their structure, allowing the image to be developed.
#4 – Anti-microbial Properties
Antimicrobial properties refer to the ability of a substance to kill or inhibit the growth of microorganisms, including bacteria, viruses, fungi, and algae. Materials or chemicals with antimicrobial properties are designed to reduce or prevent the spread of harmful pathogens, thereby reducing the risk of infection, spoilage, or contamination.
Silver's antimicrobial properties are leveraged in various products to prevent the growth of bacteria, fungi, and certain viruses, making it a valuable material in healthcare, consumer goods, and industrial applications.
For example, silver is used in wound dressings to prevent infection in cuts, burns, and surgical sites. Silver ions in the dressing release over time, providing continuous antimicrobial protection, which helps reduce the risk of infections and promotes faster healing.
Silver-based coatings are applied to high-touch surfaces in hospitals, such as door handles, light switches, and countertops, to prevent the spread of infectious agents. These coatings continuously kill bacteria, reducing the risk of hospital-acquired infections.
#5 - Malleability and Ductility
Malleability is a property of a material by which it can be beaten to form thin sheets or other shapes. Ductility measures a material's ability to sustain significant tensile strain to deform without breaking.
Silver is malleable and ductile, enhancing its suitability in many commercial and industrial applications. The jewelry industry heavily relies on this property to fashion sterling silver jewelry into many shapes and designs.
Silver’s malleability is beneficial in manufacturing various medical devices and components, allowing for precise and customizable parts.
#6 – Corrosion Resistance
Silver does not rust, being relatively inert. The precious metal’s corrosion resistance is helpful in environments where other metals might corrode and deteriorate. This is particularly valuable in electrical connectors, contacts, and other components that require long-term reliability.
Silver tarnish is due to oxidation and not corrosion. While copper oxidation, copper oxide, reduces conductivity, silver oxide still conducts electricity, giving it an advantage over copper in applications where oxidation could be a concern.
#7 - Sustainability and Recyclability
Silver is fully recyclable without degrading its properties. It can be recycled multiple times without significant loss in purity, making it an environmentally friendly material, particularly in industries focused on sustainability.
Recycling silver reduces the need for new mining, which can be environmentally damaging. Reusing silver from old products minimizes the ecological footprint associated with extraction and processing.
How Much Silver is Used in Electronics?
Since silver is the most thermally and electrically conductive metal on Earth, the precious metal is widely used in electronics manufacturing. A key electronics component is the printed circuit board (PCB), which contains various metals and semiconductors. Silver is often used in PCB connectors.
Estimated Silver Content in Electronic Products
- Smartphone – 0.095 grams
- Computer keyboard – 0.2 grams
- Circuit breaker – 0.28 grams
- Laptop – 0.35 grams
- RFID tag – 0.1 to 1 gram
- LED or LCD TV – 5 to 20 grams
- Solar panel (2 m2) – 20 grams
- Silver paste – 50% to 70% by weight
Electronics and Electrical Silver Demand is Rising
In 2023, industrial silver demand rose by 11%, a record high. According to the Silver Institute, this was mainly due to a 20% “significant growth” in electronics and electrical demand from green economy applications, particularly in the photovoltaic sector.
Gregor Gregersen, Silver Bullion’s founder, calls silver the “new oil” of the photovoltaic sector. Data from the International Renewable Energy Agency (IRENA) shows that electricity costs from solar photovoltaics fell by 82% between 2010 and 2019, a result of ongoing technological improvements in solar panel efficiency and product economies of scale. Key to the efficiency improvement of solar panels is the use of silver.
The rise of artificial intelligence (AI) is also a boon for silver demand. AI hardware, such as graphics processing units (GPUs) and neural processing units (NPUs), is essential to support the AI industry's growth. Silver’s high electrical and thermal conductivity is especially needed in manufacturing such products.
Additionally, the Silver Institute believes that increasing facilities, like data centers, to run AI programs will further support silver demand.
How Much Silver is Used in Automotives?
A car is estimated to run between 1 and 3 kilometers of wiring for various systems such as lighting, engine control, air conditioning, complex infotainment systems, and communication systems. Important electrical connections that support a car’s modules require long-term reliability, so silver contacts are used. Today, every electrical connection in a modern car is activated with a silver-coated contact.
With electrical vehicles (EVs) and hybrids becoming increasingly common on the roads, silver demand is expected to rise in the automotive industry.
According to the Silver Institute, the automotive industry and photovoltaics account for the largest areas of silver demand.
Estimated Silver Content in Vehicles
If you have ever wondered how much silver is used in cars, here are some estimates from the Silver Institute.
- Internal Combustion Engine vehicle – 15 to 28 grams
- Electric vehicle – 25 to 50 grams
How Much Silver is Used in Medical Applications
Silver’s use in medicine dates back to ancient civilizations, where silver was employed in various forms to aid healing and infection prevention. Ancient Greeks and Romans, for instance, recognized silver's benefits in wound care and as a means to purify liquids, underscoring its early significance in medicinal applications.
As medical knowledge evolved, so did the application of silver. By the 19th century, the discovery of silver's antimicrobial properties became more formalized. Silver nitrate, a compound derived from silver, was utilized as an antiseptic and in treatments for infections. This period marked a significant advancement in understanding the metal’s potential in combating bacterial growth and preventing disease.
In the modern era, silver’s role in medicine has expanded with the advent of advanced technologies and materials. Today, silver is incorporated into a variety of medical devices, treatments, and products. For example, silver nanoparticles leverage silver's antibacterial properties and are used in air conditioners, odor-resistant clothing, and washing machines.
Estimated Silver Content in Medical Applications and Devices
- Catheter – 0.001 to 0.01 grams
- Sensor – 0.001 to 1 gram
- Antibacterial dressing (10 cm by 10 cm sample) - 0.006 to 0.113 grams
- Dental filling – 0.2 to 0.6 grams
- Silver chloride electrode – 0.5 to 5 grams
- Silver nanopowder – 99.9% purity
Investing in Silver
The humble tulip, valued as an ornamental flower, became the rage in the Netherlands in the 17th century. Known as the Tulip Mania, tulips became the focus of speculative demand driven by irrational exuberance over their aesthetics and perceived social status. At the peak of the mania in 1636-1637, some tulip bulbs were reportedly sold for prices equivalent to the cost of a house or even more.
However, tulips had little intrinsic value beyond their appeal as ornamental flowers, and there was little economic utility. This eventually led to the bubble bursting, with tulip prices crashing back to Earth.
As shown above, silver’s utility is immense compared to tulips. Like gold, it is a precious metal with intrinsic value useful for many economic sectors. Silver is not only a commodity and an investment asset; it has a long history as a form of money and a store of wealth. This is why many currencies’s names today continue to have links to silver.
Silver investing is uncomplicated, and one of the best ways to do this is to buy physical silver bars and coins. We believe investing in physical silver is better than buying paper silver (ETFs, silver mining stocks, etc.), as it has minimal counterparty risks and exposure to the global financial system. When a repeat of the 2008 Global Financial Crisis happens, silver coins and bars held in secure offshore storage will survive, preserving your wealth through the crisis.
With the gold-silver ratio near a record high, signaling that silver is undervalued, now is one of the best times to invest in silver. With Silver Bullion, you can easily invest in silver and store it in our Singapore vault via our website. You can also visit our bullion retail store or contact us with any questions.