Is Platinum a Good Investment in 2026?
Platinum has caught investors’ attention lately, with prices surging over 90 percent in 2025 after breaking out of a long downtrend. Many experts see potential for it to climb toward $2,170 to $2,300 per ounce by 2026, fueled by tight supply and growing demand from industries like renewable energy. But whether it’s a smart buy depends on factors like global trade tensions and investor shifts from gold.
The platinum market faced big deficits in recent years, including nearly 700,000 ounces in 2025, driven by strong demand from China for bars, coins, and jewelry. The World Platinum Investment Council forecasts a shift to balance in 2026, with supply rising 4 percent to about 7.4 million ounces from more recycling and mining, while demand dips 6 percent to 7.385 million ounces. This balance hinges on easing trade tensions, which boosted investment this year, plus some profit-taking from exchange-traded funds and lower warehouse stocks. For more on this forecast, check out https://www.youtube.com/watch?v=OyWhTZoofWs or https://www.miningweekly.com/article/balanced-2026-platinum-market-forecast-dependent-on-global-trade-tension-let-up-2025-11-18.
On the bullish side, supply stays constrained, and industrial uses are picking up. Platinum powers catalysts in cars, glass production, and hydrogen tech in the renewable energy boom, projected to hit $4.9 trillion by 2033. As gold hits record highs, money is rotating to undervalued platinum, which acts as both a safe-haven metal and industrial commodity. A weaker dollar, Fed rate cuts, and falling gold-to-platinum ratio add tailwinds, as long as prices hold above $1,200. Analysts at FX Empire predict a breakout to $2,300 if these trends hold. See details in https://www.fxempire.com/forecasts/article/platinum-price-forecast-gold-rotation-fuels-platinum-breakout-toward-2300-by-2026-1567402.
Not everyone agrees on big gains. Heraeus Precious Metals sees prices resetting between $1,300 and $1,800 per ounce, with a narrowing deficit from higher European recycling, though automotive demand may slip as battery electric vehicles take over. Jewelry could rise, especially in China, where platinum stays cheaper than gold. Edward Sterck of the WPIC warns that without ETF selling and inventory draws, a deficit near 400,000 ounces could persist, keeping prices supported but volatile. Chinese demand has grown hugely since 2019, and glass industry growth may resume. Views from Heraeus are here: https://www.heraeus-precious-metals.com/en/company/press-and-news/heraeus-precious-metals-forecast-2026/, and Sterck’s outlook at https://www.nasdaq.com/articles/edward-sterck-platinum-deep-deficit-again-will-price-keep-rising-2026 or https://www.youtube.com/watch?v=M9FkBSlE1CY.
Platinum’s history shows deficits in seven of the last 11 years, yet prices lagged until 2025’s rally tied to trade fears and Russia concerns. Investors eye it as a hedge against losing purchasing power, alongside gold and silver. Aberdeen Investments notes Chinese consumers switching back to platinum jewelry, which doubles as an investment under capital controls. Check their take: https://www.aberdeeninvestments.com/en-us/investor/insights-and-research/commodities-the-year-that-was-the-year-that-could-be-2026.
Risks include trade flare-ups tipping the market back to deficit, or slower industrial recovery. A balanced market won’t rebuild stockpiles, leaving little room for error.
Sources
https://www.youtube.com/watch?v=OyWhTZoofWs
https://www.fxempire.com/forecasts/article/platinum-price-forecast-gold-rotation-fuels-platinum-breakout-toward-2300-by-2026-1567402
https://www.heraeus-precious-metals.com/en/company/press-and-news/heraeus-precious-metals-forecast-2026/
https://www.nasdaq.com/articles/edward-sterck-platinum-deep-deficit-again-will-price-keep-rising-2026
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