Platinum has recently hit the $1,300 mark, a significant milestone that reflects growing interest and tightening supply in the market. So, what lies ahead for this precious metal?
First off, platinum is facing a serious supply crunch. For the third year running, there’s been a notable deficit between how much platinum is mined and how much is demanded globally. This shortfall is expected to continue through 2025 due to lower mining output—especially from South Africa—and reduced recycling rates. Stocks of above-ground platinum are shrinking too, down by about 25%, leaving less than four months’ worth of global demand in reserve. This means there’s simply less platinum available for buyers.
On the demand side, China plays an increasingly important role. Chinese investors have been snapping up more platinum bars, coins, and jewelry as they look for alternatives to gold amid its high prices. In fact, imports into China jumped sharply in early 2025—by nearly half compared to previous months—which adds extra pressure on already tight supplies.
Looking forward from here, many analysts see room for platinum prices to climb even higher over the next few years. Some forecasts suggest that by mid-2025 prices could reach around $1,400 per ounce and then continue rising toward $1,500 or more by 2026 as deficits persist and demand remains strong.
Beyond that horizon lies even bigger potential gains: projections indicate that over five years or so platinum could double its value from current levels as supply shortages deepen further while industrial uses—like hybrid vehicle manufacturing—and investment interest keep growing.
In short: hitting $1,300 might just be the start of a new upward journey for platinum fueled by tight supplies worldwide combined with surging demand from key markets like China. Investors and industries alike will be watching closely as this rare metal charts its next moves in price territory not seen in years.