The silver shorts in the London Gold and Silver Market Association are facing delivery difficulties, as the four main physical supply channels they once relied on are now under unprecedented pressure.

Let's look at the specifics: the traditional LBMA internal leasing market has almost completely collapsed, mainly due to a severe shortage of available silver and the leasing rates rising to unacceptable levels. Shanghai, another key source, has also closed, with inventories hitting record lows, and new export control measures further tightening supply. As for the iShares Silver Trust ETF (SLV), this channel has also fallen into trouble due to recent tariff threats and trade policy uncertainties.

As a result, the COMEX warehouses in New York have become the only place the silver shorts can rely on. Silver needs to be shipped back from New York to London, either through electronic futures swaps or direct sea freight. But the problem is that international transportation costs are now exorbitantly high, especially shipping prices. Coupled with potential tariff barriers and inventory pressures, this route is becoming increasingly difficult. Every link in the market supply chain is changing, which will inevitably impact silver prices.