Platinum electrolyzer demand is rising because proton exchange membrane electrolyzers use platinum-group metal catalysts, and forecasts and market reports expect electrolyzer capacity and hydrogen deployment to grow substantially, which increases platinum demand for the hydrogen sector[2][4].
Context and explanation
Platinum role in electrolysers: Proton exchange membrane (PEM) electrolyzers use platinum-group metal catalysts at the anode and/or cathode to speed the hydrogen evolution and oxygen evolution reactions; this makes platinum a critical input for PEM stacks even as manufacturers work to reduce loading per kilowatt[3]. The commonly cited current range for platinum loading in PEM systems is roughly 0.8 grams per kilowatt, while research and policy targets aim to push that much lower (for example, the US Department of Energy targets around 0.1 g/kW), so per-unit platinum demand can fall as technology improves[3].
Scale drivers for platinum demand in electrolysers: Several market studies and industry bodies project strong growth in electrolyser capacity over the next decade and beyond, lifting potential platinum consumption in hydrogen applications. IDTechEx forecasts global electrolyser demand approaching tens of gigawatts by the mid 2030s and highlights that PEM components (which use PGMs) will take a larger share of component market value even if alkaline technology leads in installed capacity[4][9]. Independent commentary and investment council analysis also project significant platinum demand from hydrogen electrolysers and stationary fuel cells, with some estimates showing hydrogen-related platinum demand rising sharply through 2030 under aggressive deployment scenarios[2][3][5].
Key uncertainties that affect platinum demand
– Technology competition: Alkaline electrolyzers and other non-PEM technologies dominate current installations and require little or no platinum or iridium; if alkaline or alternative technologies continue to capture most new capacity, platinum demand from electrolysis will be smaller[3][4].
– Catalyst loading reductions: R and D, manufacturing scale-up, and policy targets aim to reduce platinum grams per kW, lowering material intensity and slowing absolute platinum growth even as capacity expands[3].
– Project execution gap: Large announced electrolyser pipelines exist, but a small share reaches final investment decision and commercial deployment quickly; the gap between announcements and realized capacity creates uncertainty in near-term platinum uptake[3].
– Regional policy and funding: Public funding, hydrogen hub programs, and renewable power availability influence where and how fast electrolysis projects move forward; policy setbacks can slow deployment and therefore platinum demand growth[1][2].
Quantitative context from recent reports
– Industry estimates and reports suggest hydrogen stationary platinum demand could rise materially year on year; one analysis estimated the hydrogen stationary segment might reach tens of thousands of ounces in the near term and continue growing into 2026 and beyond[2].
– The World Platinum Investment Council and related sources have projected hydrogen-related platinum demand of several hundred thousand ounces by 2030 under certain deployment scenarios, making hydrogen one of the fastest-growing industrial markets for platinum if those scenarios are realized[3][5].
– Market research forecasts for overall electrolyser installations (all technologies) show multi-gigawatt growth to the 2030s, with IDTechEx projecting roughly 45 GW by 2036; because PEM components carry higher value and use PGMs, this growth creates a pathway for meaningful platinum demand even if PEM is not the majority by unit count[4][9].
Implications for supply and price
– Several analysts and market observers note a tightening platinum market in recent years with deficits reported in 2025, which increases sensitivity to rising industrial demand such as from hydrogen electrolysers[1][5][6].
– If electrolyser deployment scales quickly and PEM takes a significant share, platinum industrial demand could become a notable portion of total platinum usage; conversely, strong gains in recycling or continued dominance of alkaline electrolysis would limit upward pressure on primary platinum demand and prices[1][3][7].
What to watch next
– Trends in PEM versus alkaline market share and real-world deployments rather than announcements[3][4].
– Progress in catalyst loading reduction per kW and commercialization of lower-PGM or PGM-free alternatives[3].
– Government hydrogen policies, funding decisions for hydrogen hubs, and the pace of renewable power buildout that enables green hydrogen[1][2].
– Recycling rates and mine production changes that affect available supply and the market balance[1][7].
Sources
https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdf
https://www.h2-view.com/story/hydrogen-to-drive-meaningful-platinum-use-but-bottlenecks-lie-with-other-pgms-and-clean-power/2134951.article/
https://shanakaanslemperera.substack.com/p/the-platinum-singularity-how-the
https://www.idtechex.com/en/research-article/the-market-for-electrolyser-components-will-exceed-us-10b-by-2036/34168
https://www.streetwisereports.com/article/2025/12/15/platinums-impressive-ascent-could-continue-through-2026.html
https://thormetalsgroup.com/resource/december-12-2025-why-a-structural-deficit-and-hydrogen-economy-could-boost-platinum/
https://www.heraeus-precious-metals.com/en/company/press-and-news/heraeus-precious-metals-forecast-2026/