Electric vehicles (EVs) are playing a big role in driving silver prices higher in 2025. Silver isn’t just a shiny metal used for jewelry; it’s also a crucial material in many modern technologies, especially those powering the green energy revolution.
One of the main reasons silver is rallying this year is because of its growing industrial demand. Unlike gold, which is mostly held as an investment or used in jewelry, silver has a dual purpose: it’s both precious and highly useful for industry. In fact, over half of all silver produced today goes into industrial uses.
Electric vehicles rely heavily on silver for their batteries and electronic components. Silver has excellent electrical conductivity and helps with heat dissipation, making it ideal for wiring inside EV batteries and other parts like sensors and circuit boards. As more people switch to electric cars worldwide—thanks to government policies pushing clean energy—demand for these components soars.
Solar panels also use large amounts of silver, especially photovoltaic cells that convert sunlight into electricity. With countries aiming to reduce carbon emissions by 2030 or sooner, solar power installations have exploded globally. Each gigawatt of solar capacity requires tens of thousands of ounces of silver, adding up quickly across hundreds of projects.
Tech companies involved in AI servers and 5G infrastructure further boost demand since they use high-purity silver wiring too. This combination means that industries tied to clean energy and advanced electronics are indirectly fueling the surge in silver prices.
In June 2025, the price per ounce climbed above $36—a level not seen since around 2012—and stayed there instead of falling back like previous spikes did. This suggests strong underlying support from real industrial needs rather than just speculation or short-term trading moves.
So when you hear about electric vehicles zooming onto roads everywhere or new solar farms popping up around the world, remember that these green technologies are quietly pushing up the price of silver as well—making it one key metal powering our transition toward cleaner energy futures.