South Africa: Platinum Market 2024

Platinum Market Size in South Africa

In 2021, after two years of decline, there was growth in the South African platinum market, when its value increased by 3.4% to $X. Over the period under review, consumption, however, recorded a slight contraction. As a result, consumption attained the peak level of $X. From 2014 to 2021, the growth of the market failed to regain momentum.

Platinum Production in South Africa

In value terms, platinum production reached $X in 2021 estimated in export price. Overall, production, however, saw a noticeable downturn. The growth pace was the most rapid in 2013 with an increase of 44%. As a result, production reached the peak level of $X. From 2014 to 2021, production growth failed to regain momentum.

Platinum Exports

Exports from South Africa

In 2021, overseas shipments of platinum were finally on the rise to reach X tons after two years of decline. Over the period under review, exports, however, recorded a perceptible downturn. The most prominent rate of growth was recorded in 2016 when exports increased by 48% against the previous year. As a result, the exports attained the peak of X tons. From 2017 to 2021, the growth of the exports remained at a somewhat lower figure.

In value terms, platinum exports skyrocketed to $X in 2021. Overall, exports, however, saw a slight reduction. Over the period under review, the exports reached the maximum at $X in 2013; however, from 2014 to 2021, the exports remained at a lower figure.

Exports by Country

The UK (X tons), Japan (X tons) and Hong Kong SAR (X tons) were the main destinations of platinum exports from South Africa, together comprising 62% of total exports. These countries were followed by the United States, Switzerland, China and Germany, which together accounted for a further 36%.

From 2012 to 2021, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by China (with a CAGR of +6.3%), while the other leaders experienced more modest paces of growth.

In value terms, the UK ($X), Japan ($X) and Hong Kong SAR ($X) constituted the largest markets for platinum exported from South Africa worldwide, together comprising 63% of total exports.

In terms of the main countries of destination, the UK, with a CAGR of +7.0%, recorded the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2021, the average platinum export price amounted to $X per kg, jumping by 25% against the previous year. Over the period under review, export price indicated a slight expansion from 2012 to 2021: its price increased at an average annual rate of +1.1% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, platinum export price increased by +35.8% against 2019 indices. The pace of growth was the most pronounced in 2017 when the average export price increased by 44%. The export price peaked at $X per kg in 2013; however, from 2014 to 2021, the export prices remained at a lower figure.

Average prices varied noticeably for the major export markets. In 2021, amid the top suppliers, the countries with the highest prices were Germany ($X per kg) and Hong Kong SAR ($X per kg), while the average price for exports to Japan ($X per kg) and Switzerland ($X per kg) were amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to the UK (+6.9%), while the prices for the other major destinations experienced more modest paces of growth.

Platinum Imports

Imports into South Africa

In 2021, supplies from abroad of platinum decreased by -67.5% to X kg, falling for the second year in a row after three years of growth. In general, imports faced a deep downturn. The growth pace was the most rapid in 2017 when imports increased by 180%. Imports peaked at X tons in 2012; however, from 2013 to 2021, imports stood at a somewhat lower figure.

In value terms, platinum imports declined remarkably to $X in 2021. Overall, imports continue to indicate a abrupt setback. The most prominent rate of growth was recorded in 2019 when imports increased by 86%. Over the period under review, imports attained the maximum at $X in 2012; however, from 2013 to 2021, imports failed to regain momentum.

Imports by Country

In 2021, Germany (X kg) constituted the largest platinum supplier to South Africa, with a 75% share of total imports. Moreover, platinum imports from Germany exceeded the figures recorded by the second-largest supplier, Switzerland (X kg), eightfold. The Czech Republic (X kg) ranked third in terms of total imports with an 8.1% share.

From 2012 to 2021, the average annual rate of growth in terms of volume from Germany amounted to -13.6%. The remaining supplying countries recorded the following average annual rates of imports growth: Switzerland (+6.6% per year) and the Czech Republic (+69.4% per year).

In value terms, Germany ($X) constituted the largest supplier of platinum to South Africa, comprising 83% of total imports. The second position in the ranking was taken by Switzerland ($X), with a 12% share of total imports. It was followed by Belgium, with a 3.1% share.

From 2012 to 2021, the average annual growth rate of value from Germany totaled -12.3%. The remaining supplying countries recorded the following average annual rates of imports growth: Switzerland (+9.8% per year) and Belgium (-17.2% per year).

Import Prices by Country

In 2021, the average platinum import price amounted to $X per kg, growing by 113% against the previous year. Over the period under review, the import price saw buoyant growth. As a result, import price attained the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major supplying countries. In 2021, amid the top importers, the country with the highest price was Switzerland ($X per kg), while the price for Israel ($X per kg) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Nigeria (+99.4%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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