The reporting of silver in missiles does not exist. Copious amounts of silver ounces are used in missiles and military aerospace applications that are not reported. New reporting of silver in missiles has come to light that could help drive the silver price higher. We take a look at why silver in missiles is not reported, the new silver in missiles data, and the potential impact on the silver price. Let’s take a look.
Here are a few highlights:
- Silver is a commodity in demand and in deficit but the silver price is relatively low.
- The Supply and Demand reporting of silver does not include Military, Aerospace, robotics, AI and Hydrogen fuel cells
- New missile data shows 85.6 million ounces of silver is used in over 214 unique missiles.
- The silver Institute reporting is not accurate. It does not include the millions of silver ounces used in military applications, potentially suppressing the silver price.
Feel free to read through or jump ahead.
The Silver in Missiles
The use of silver is booming. And the use of silver in missiles is literally booming, but to what extent, nobody knows. The reporting of silver in missiles and aerospace is non-existent. The only slither of information we have is there are 500 ounces of silver in a tomahawk missile. This has been disputed online but Andy Schechtman recently confirmed this.
The silver in missiles is not formally reported anywhere, which begs the question. Why doesn’t the Silver Institute report on silver in missiles?
Why Does the Silver Institute Not Report on Silver in Missiles
It is unknown why the Silver Institute does not report on the military application of silver, including the silver in missiles.
The Silver Institute was established in 1971. According to its website it “serves as the industry’s voice in increasing public understanding of the many uses and values of silver.”
Global silver demand is set to reach 1.2 billion ounces in 2024. And the Silver Institute reports that in 2023, 56% of the silver supply was used for Industrial purposes (576.4 million ounces). This is the biggest use of silver globally and includes electrical, electronics, and other industrial applications.
The Silver Institute’s reporting on silver is missing National Defense (missiles and aerospace). The only mention of “missiles” or “military” on their website references U.S. Mint silver coins to commemorate World War I veterans.
There is no reason why the Silver Institute has incomplete data on silver. But they aren’t the only ones.
Missing Silver in US Government Reporting
There is a common theme in silver reporting, it is incomplete or missing.
Five US government agencies (including the Department of Defence) stopped reporting silver usage sometime in 1995-1996 for no apparent reason. This timeline
Silver was not included in the 2022 list of critical minerals by the United States Geological Survey (USGS). Other countries like Australia and the United Kingdom are also missing silver in their critical minerals list.
Although half of the global demand for silver comes from the Industrial sector. And the Net-Zero future of the world requires silver for EVs and solar panels. Somehow, silver is not considered a “critical mineral”. This doesn’t seem right considering the Western Movement to a green future.
But there is hope for silver stackers. The unified oversight from Governments and their organizations has not gone unnoticed.
The Silver Academy Reporting on Silver in Missiles
The Silver Academy is a new outfit that is delivering a new perspective on silver reporting. They have reported on 12 other areas not covered by the Silver Institute on their SIlver Academy Substack. They have already published 20 articles covering silver use in the Military (bombs, missiles), Aerospace (satellites, rockets), robotics, AI and Hydrogen fuel cells.
The Silver Academy is looking to publish a Global Silver Report in late April 2024. The intention is to improve the existing silver reporting and cover all areas of silver usage. And most importantly, to ensure there is no “missing Silver” in silver reporting.
The First Data Dump of Silver in Missiles
The Silver Academy has released its first data dump starting with silver in missiles. We know that Andy Schechtman confirmed that there are 500 ounces of silver in a Tomahawk missile. This is a great insight but the military produces more than tomahawk missiles.
The Silver Academy has reported a conservative estimate of 214 unique missiles in their first silver data dump starting with missiles. There is a total of 856,000 missiles with 100 ounces of silver in each. This comes to 85.6 Million ounces of silver. The timeframe is unclear from the early data. But we are assuming the data is for 2023, and the average silver price per ounce was $23. That comes to almost $2 billion in silver used for a conservative number of missiles.
This data is just scratching the surface of silver used in the missiles and the military. The US government is spending billions on silver to produce their weapons. The demand for silver is high, and the silver market is forecast to remain in deficit in 2024 and beyond. As we roll into the fourth consecutive year of a silver market deficit, the deficit is considered “exceptionally high by historical standards”.
If the Silver Academy’s data is correct, the missing silver in missiles data should appear in the Silver Institute reporting. The 85.6 million ounces of silver used in missiles is above photography (41 million) and silverware (53 million) in the Silver Institutes Supply and Demand report for 2023. if correct, it is unbelievable that this data is not included.
Why is Silver in Missiles Not Reported?
Silver is a commodity in demand, in deficit and the reporting of usage and mineral criticality is flawed.
It is not known why silver in missiles is not reported. Or why the reporting on silver is not accurate from the Silver Institute or various Government Agencies. It could be that any reporting on missiles and weapons of war is classified and cannot be reported to the public. Or it is just hidden to “protect” the public from the fact that missiles are being made every day.
If the real usage and silver demand are not accurately reported, this leads to “defacto price suppression”. The market has no real idea of the supply vs the demand. Silver experts like Andy Schechtman believe that silver remains inexpensive because its criticality is kept out of the spotlight. This lack of reporting keeps it undervalued and available.
Schechtman believes that “Silver will have its day”. He makes an interesting point while speaking with SOAR Financially, discussing Silver is more valuable than you think.
“So if you want to continue to fund this massive machine of wealth and death, the only way to do it is to keep the most important part of that asset that you need to build that machine and all of its tools, you keep it out of the limelight.”
With all eyes on Bitcoin and gold, the silver price is stagnant despite its usage in EVs, solar panels, and other Industrial applications. Schechtman also points out that Western Commercial Banks hold the largest short position on silver in any commodity traded on the Comex.
Schechtman is right to question the motives behind these large commercial banks. Could it benefit their friends in the Government who are building missiles?…..
Final Thoughts
We don’t know why silver in missiles is not reported. And we don’t know why the Silver Institute and various Governments across the globe do not accurately report on silver. And we don’t know why the big banks are shorting silver in record amounts on the Comex.
But we do know that we have record silver demand and record silver deficits. And the Silver Academy’s new reporting can only help by providing accurate usage of silver in missiles and military applications. This will paint a clearer picture of the supply and demand of silver, which ultimately will impact the silver price.
Because of these facts, we agree with Andy Schechtman that “Silver will have its day”.
M. Moneyman
New to Silver? Read the Moneyman Review and Insights on The Great SIlver Bull. A fantastic book about the potential for Silver and how to invest in it.
FAQs
Who is the Silver Institute?
The Silver Institute was established in 1971 and according to its website it “serves as the industry’s voice in increasing public understanding of the many uses and values of silver.”
The Silver Institute is a nonprofit international association that draws its memberships from across the silver industry. This includes bullion dealers, refiners and wholesalers. Their goal is to “spread knowledge and understanding of the uses of silver”.
