Platinum has shown strong gains in 2025, rising from $910 per ounce at the start of the year to over $1,950 recently, making it a compelling investment option right now due to supply shortages and growing demand.https://www.phoenixrefining.com/blog/russia-s-largest-palladium-producer-sees-platinum-deficit-this-yearhttps://tradingeconomics.com/commodity/platinum Prices hit $1,974 on December 18, up 114 percent from last year, driven by investor interest and market tightness.https://tradingeconomics.com/commodity/platinum
One key reason is the ongoing supply deficit. Experts forecast a shortage of 692,000 ounces by the end of 2025, the third year in a row, as production falls 2 percent to 7,129,000 ounces.https://www.prnewswire.com/news-releases/platinum-market-to-end-2025-with-692-koz-deficit-potential-easing-of-tariff-fears-leads-to-a-more-balanced-platinum-market-in-2026-302619223.html South Africa, which produces about 80 percent of the world’s platinum, faces issues like aging mines, power outages, and flooding that cut output.https://www.phoenixrefining.com/blog/russia-s-largest-palladium-producer-sees-platinum-deficit-this-yearhttps://www.fxstreet.com/analysis/what-drove-the-strong-performance-of-platinum-group-metals-in-2025-202512151929 Russia’s top producer even predicts a 400,000-ounce gap when counting investor buying.https://www.phoenixrefining.com/blog/russia-s-largest-palladium-producer-sees-platinum-deficit-this-year
Demand is picking up fast. Platinum’s use in green tech like hydrogen fuel cells and catalytic converters is growing, pulling in buyers.https://www.phoenixrefining.com/blog/russia-s-largest-palladium-producer-sees-platinum-deficit-this-year In China, bar and coin sales could hit 418,000 ounces this year, boosted by new futures trading on the Guangzhou exchange.https://platinuminvestment.com/about/60-seconds-in-platinum/2025/12/18https://www.bullionvault.com/gold-news/gold-price-news/platinum-gfex-palladium-121720251 Investors rotated from gold into platinum, especially as gold prices climbed, and looser U.S. money policies weakened the dollar.https://www.fxstreet.com/analysis/what-drove-the-strong-performance-of-platinum-group-metals-in-2025-202512151929
Recent price action supports the bullish case. Platinum jumped 92 percent this year, outpacing many commodities, and touched $1,973 before pulling back slightly to trade between $1,890 and $1,970.https://www.fxstreet.com/analysis/what-drove-the-strong-performance-of-platinum-group-metals-in-2025-202512151929https://www.economies.com/commodities/platinum-analysis/platinum-price-hits-the-main-target%E2%80%93-forecast-today-%E2%80%93-18-12-2025-123537 Analysts see it holding above $1,800 and possibly reaching $2,340 in 2026.https://www.phoenixrefining.com/blog/russia-s-largest-palladium-producer-sees-platinum-deficit-this-year Fed rate cut expectations and weak U.S. jobs data added fuel, pushing prices to 2008 highs.https://tradingeconomics.com/commodity/platinum