The price of Palladium has increased by 80% over the past year and this is likely to continue to increase as the year progresses.

 

This is because Palladium is predominantly used as a key component in order to make catalytic converts, Catalytic converts are fitted to petrol cars in order to help convert toxic emissions such as carbon monoxide into carbon dioxide, water and nitrogen. Making them more environmentally friendly.

 

One of the mayor factors in the increased demand of Catalytic Converters is governments especially China’s introduce new regulations in order to help reduce the amount of harmful emissions that are produced from petrol cars. This means that at least 30 percent more palladium is needed for every petrol vehicle that is produced.

 

This has led to an increased demand for palladium in order to create the Catalytic Converters from automakers. So far, the supply hasn’t been able to respond to the growing demand of palladium making it much harder to source at present.