The environmental technologies division has been driven by higher sales of autocatalysts
- a cylinder fitted to vehicle exhausts to reduce the level of harmful gases released into the atmosphere.
brake rotor foundry, where he now offers autocatalyst
recycling and metallurgical services, and the excess equipment is for sale to the right bidder.
The company's main activities include the manufacture of autocatalysts
, platinum process catalysts and speciality chemicals and the refining, fabrication and marketing of platinum group metals.
LONDON -- A substantial reduction in supplies, as well as lower volumes of autocatalyst
recycling, will move the platinum market from surplus to deficit in 2012, according to Johnson Matthey in "Platinum 2012 Interim Review", released today.
Given these metals are distributed unevenly in varying but finite quantities in the earth's crust, 97% of the world's rare earth elements (REE) are produced in China, while 80% of the world's platinum and rhodium used in modern autocatalysts
and fuel cells come from a single source in South Africa.
LREEs are used in the manufacture of fluid catalytic cracking catalysts (FCCs) and autocatalysts
, which together account for around 16% of global demand.
It said it was "hit by car sales falling sharply in Europe, North America and Asia leading to demand for autocatalysts
being well down on last year".
Platinum fell more than 3 percent to its weakest in two weeks, hit by concernover demand for autocatalysts
after automakers reported a 10thconsecutive month of US sales declines and talk that some automakers sold back inventories.
Platinum should also be a safe bet, partly because of US demand for autocatalysts
, Alliance reckons.
The Chinese platinum jewellery market has boomed along with a robust return to platinum in autocatalysts
and other industrial application, resulting in a series of annual supply deficits.
Recovery of platinum from spent autocatalysts
rose by 4.
Table 35: World PGM Market (2012): Percentage Breakdown of Autocatalyst
Palladium Demand by Vehicle Type (includes corresponding Graph/Chart) II-40 Table 36: World Light Duty Diesel (LDD) Autocatalysts
Market (2012): Percentage Breakdown of Demand by PGM Type (includes corresponding Graph/Chart) II-40
The metal's use in autocatalysts
(which accounted for close to two thirds of overall offtake) rose by nine per cent as a function of growing vehicle sales, particularly as a result of emerging markets' demand for light duty gasoline units, as well as palladium benefitting from continued penetration in diesel applications, at the expense of platinum.
As chiefly industrial metals used in autocatalysts
, platinum and palladium are more exposed than gold to the economic cycle, and have suffered from a lack of car demand in recent years.
Robust demand for platinum in autocatalysts
and growth in demand in industrial applications such as glass and petroleum refining should drive purchasing to levels not seen since 2007, before the global economic crisis.