Tesla CEO Elon Musk is raising alarm over surging silver prices as China prepares to impose new export restrictions on the precious metal.
Musk responded to a post on his X social media platform that noted China will begin requiring government licenses for companies to export silver from the country starting on January 1.
“This is not good. Silver is needed in many industrial processes,” the Tesla CEO said.
Silver prices have surged to record high prices this year after it was designated a critical mineral by the U.S. government amid supply shortages and rising demand from industrial users as well as investors. The metal is used in a variety of industries, including electronics, medicine and renewable energy.
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Silver prices have risen over 142% in 2025 as of Monday after beginning the year at just under $30 an ounce. iShares Silver Trust, the largest exchange traded fund tied to silver, has mirrored the gains of the metal.
Spot silver prices briefly touched an all-time high of $83.62 an ounce during Monday’s trading session before they fell to $75.32.
“This morning’s price decline, which follows record highs, is attributable mainly to traders taking profits ahead of the year-end,” said ActivTrades analyst Ricardo Evangelista. “Tentative optimism from the U.S. administration regarding progress in the Ukraine peace talks also represents a mild headwind.”
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David Meger, director of metals trading at High Ridge Futures, noted the profit-taking is driving the pullbacks from “spectacularly high levels” and added that, “I believe that the underlying fundamentals of (silver) supply constraints remain factors in the market, and we still have positive prospects going into 2026.”
Precious metals like silver and gold are also contributing to the S&P 500’s rise to new highs as the calendar is set to turn to the new year.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| GLD | SPDR GOLD SHARES TRUST – USD ACC | 399.02 | +0.45 | +0.11% |
| SLV | ISHARES SILVER TRUST – USD ACC | 65.72 | -5.40 | -7.59% |
| SPY | SPDR S&P 500 ETF TRUST – USD DIS | 680.59 | +4.12 | +0.61% |
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“If stocks are going to close out another year of double-digit gains on a high note, they’ll likely need to do much of the heavy lifting,” said Chris Larkin, managing director of trading and investing at E*Trade from Morgan Stanley. “But precious metals may also play a key role.”
“Mining stocks were a big part of the S&P 500’s drive to new highs last week, and they’ve been tracking the record-setting rallies in metals. If gold and silver close out 2025 at record highs, the S&P 500 may have a better chance of doing the same,” Larkin explained.
Reuters contributed to this report.
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