Traditionally, silver was used as currency and for the production of handicrafts and jewelry.  With the rise of industrialization in modern times, the use of silver has been extended to industries including photography, electronics, national defense, aerospace and pharmaceutical, becoming an important member in the family of industrial metals and playing a pivotal role in the national economy.
China's rapid economic growth in recent years has fuelled steady growth in silver demand, and China has become one of the countries with huge potential demand for the metal. China's silver consumption, which totalled only about 900 tons in 1985, reached 1360 tons in 2000, 2545 tons in 2005, and about 5700 tons in 2010. Growth in China’s domestic silver consumption averaged more than 10 percent annually during the 2005-2010 period.

With the development of digital technology in recent years, the most traditional industrial use of silver -- for making photosensitive materials, has been decreasing every year. However, due to sustained development of the electronics industry, deep processing of silver has grown rapidly.The current consumption structure of silver goes roughly like this: 37% of silver is used in the electrical and electronics industry; 23% for making silver alloys and solders; 31 percent for making silver handicrafts and jewelry;  4% for making photosensitive materials and 4% in antibacterial and other areas.

China’s silver consumption between 2001-2010(estimated)

　　　　　　　　　　Source：China Nonferrous Metals Industry Association/ Antaike

Change in domestic silver consumption between 2001-2010

Source：China Nonferrous Metals Industry Association/ Antaike