Silver rose above $31 per ounce at the start of March, driven by a weaker dollar and safe-haven buying amid concerns over shifting US trade policy.

Last week, US President Donald Trump announced that tariffs on Canadian and Mexican imports were set to take effect Tuesday, along with an additional 10% duty on Chinese shipments, bringing the cumulative tariff on China to 20%.

In response, reports indicated that Beijing was preparing to impose countermeasures against US imports. Meanwhile, ongoing supply and demand uncertainties continued to weigh on sentiment.

Hecla Mining, the largest US silver producer, reported a 13% increase in silver output for 2024, mining 16.2 million ounces (moz)—the second-highest level in its 134-year history.

However, demand showed signs of weakness, with US silver coin purchases falling 27% year-over-year in January to 3.5 moz, the lowest January demand since 2018.

Source: Trading Economics