Can the price gap between palladium and platinum pave a way for the latter’s comeback?
The high price and widening supply-demand gap of palladium also makes platinum demand growth likely due to the substitution of palladium in diesel and gasoline cars
While electrified vehicles are growing in popularity and numbers in many major automotive markets in the world, there is a consensus that internal combustion engines (ICE) will continue to feature in a majority of vehicles that are mated to mild-hybrid, full-hybrid, or plug-in hybrid technologies. However, ICEs will be progressively cleaner and more efficient from here on. Better emission technology, which includes catalytic converters, will continue to play a key role. This means that demand for the three main platinum group metals (PGM) catalysts—platinum, palladium, and rhodium—will continue to see growth for the next couple of decades.