Demand for platinum in 1996 rose by 40,000 oz. to 4.9 million oz., led by increased industrial use and the manufacture of jewelry in the U.S. and China, according to a report published by British-based metal trader Johnson Matthey.
Industrial consumption of the metal rose by 95,000 oz. to 1.1 million oz., and demand for platinum in jewelry in the Western World rose by 40,000 to 1.8 million oz. Sales of platinum to China rose by 200,000 oz., primarily as a result of increased demand for the metal in jewelry.
The use of platinum in automobile catalysts in North America and Europe fell by 30,000 oz. to 1.8 million oz. as a result of the increased use of palladium. The consumption of platinum for investment products fell by 105,000 oz. to 240,000 oz., primarily as a result a depressed demand for platinum bars in Japan.
Supplies of platinum fell by 90,000 oz. in 1996 to 4.9 million oz. Production in South Africa, one of the world’s leading producers of platinum group metals, was affected by a strike at the Rustenburg mine of Anglo American.
Continued turmoil at the Noril’sk Kombinat in Russia, which is also a leading supplier of platinum group metals, also affected world supplies.
Demand for platinum in jewelry and for industrial use is expected to rise throughout 1997, though its use in automobile catalysts in Europe and North America will continue to fall. South African output is expected to rise, and shipments from Russia will continue to fall owing to reduced stocks there.
The price for 1997 is expected to range between US$360 and US$400 per oz.
Demand for palladium in 1996 rose by 30,000 oz. to 6.2 million oz. Although demand for the metal from the electronics sector fell somewhat, its use in automobile catalysts is on the rise. Palladium supplies rose by 480,000 oz.
to 6.8 million oz. as a result of record sales from Russia and South Africa.
The price of the metal this year is expected to be affected by the suspension and general unpredictability of Russian sales but should range between US$130 and US$160 per oz.
Be the first to comment on "Demand for PGMs in industry, jewelry on rise"