Metal of choice: How electric vehicles will shape demand for platinum

Prices of this rare precious metal lagged gold as a result of an industrial slowdown but battery adoption may boost it

Apart from being the material of choice in the most expensive jewellery and the most collectible watches, the rarest of all precious metals, platinum, is an important ingredient in industries that range from automotive and pharmaceutical to medical devices and glass. The world’s platinum reserves are also limited — they are 30 times less than gold reserves.

That would imply that platinum prices should be higher than gold. For example, platinum was priced at around $610 per ounce (28 grams) in 2001 when gold was selling for $270 per ounce.

Yet, over the years, the trend has been reversed. According to industry