The Conversation (0)
International Business Times reported that in 2014, platinum supply and demand fundamentals will be primarily driven by South Africa, China and Europe. Circumstances in all three countries are expected to keep the precious metal in deficit.
International Business Times reported that in 2014, platinum supply and demand fundamentals will be primarily driven by South Africa, China and Europe. Circumstances in all three countries are expected to keep the precious metal in deficit.
In terms of South Africa, the world’s largest platinum producer, high mining costs will mean miners in the country are “unlikely to deliver more platinum in the near term,” according to Jeremy Coombes, marketing and publications manager at Johnson Matthey plc (LSE:JMAT).
As quoted in the market news:
Just as South African suppliers suffer from limited growth potential, platinum demand is steadily rising. New emissions rules in Europe, set to take effect September 2014 and into 2015, will significantly raise the amount of platinum required in automobile anti-emission equipment, according to Coombes. Europe’s diesel-fired vehicles tend to use more platinum than its sister metal palladium, which is more common in the emission-control equipment of gasoline engines.
China, too, will play a key role in platinum markets in 2014. The country is increasingly seeking platinum for industrial uses, aside from its already established role as a major consumer of platinum jewelry.
Click here to read the full International Business Times report.