Key Points
- Gold and silver prices rebounded on Tuesday after a brief dip. Silver is up 150% in 2025, while gold has gained nearly 70%.
- An expert called the rush to secure resources a new global “metals war.”
- The U.S. added silver to its “critical minerals” list for national security.
- China is set to restrict its silver exports, which will likely further raise prices.
Gold and silver prices bounced back on Tuesday, signaling that the massive rally in precious metals might not be over yet. Gold futures climbed 1% to trade near $4,385 an ounce, while silver staged a huge 10% comeback after suffering its biggest one-day drop since 2021. Both metals are on track for their best year since 1979, with silver up 150% and gold up nearly 70%.
This incredible performance is part of what one expert is calling a new “metals war.” Josh Phair, the CEO of Scottsdale Mint, says countries are scrambling to secure the resources they need for the future. It started with central banks buying large quantities of gold, and now the focus is shifting to industrial metals such as silver and copper.
The United States recently added silver to its official list of “critical minerals,” recognizing that the country needs it for both economic and national security reasons.
Silver is a key component in the new AI data centers that are being built across the country. It is also used in solar panels and electric car batteries. As the U.S. seeks to bring manufacturing back home, demand for these metals is surging.
Adding to the tension, China, the world’s third-largest silver producer, is expected to restrict its exports starting on January 1. This move will make it even harder for other countries to secure the metal, likely pushing prices even higher.
Big companies are already feeling the pressure. Samsung recently signed a $7 million deal just to secure future silver supplies from a mine in Mexico.
While some people worry that prices have risen too quickly, others believe this is just the beginning. Phair noted that, when adjusted for inflation, silver remains “cheap” relative to its 1980 record high. With a weakening U.S. dollar and lower interest rates, the conditions are perfect for precious metals to keep climbing.
