Palladium (Pd), atomic number 46, remains a rare, lustrous silverywhite platinumgroup metal first identified in 1803 by William Hyde Wollaston. It is part of the platinum group metals (PGMs)palladium, platinum, rhodium, ruthenium, iridium, and osmium—known for exceptional catalytic and corrosionresistant properties.

Primary Uses of Palladium 

• Automotive catalytic converters continue to dominate demand, accounting for over 80% of global palladium use.
  • Palladium converts up to 90% of harmful exhaust gases into less toxic emissions.
  • Slowerthanexpected EV adoption in 2025–2026 has reinforced palladium’s importance in gasoline vehicles.
  • Automakers may still substitute platinum when price spreads widen, but palladium remains the preferred catalyst for gasoline engines.
• Industrial & Technology Uses
  • Electronics (MLCCs, connectors, thinfilm coatings)
  • Chemical catalysts and hydrogen purification
  • Dentistry and medical applications
  • Jewelry and specialty alloys
  • Fuel cells, where palladium plays a role in hydrogenoxygen reactions

Demand Trends in 2026

• Global EV sales slowed sharply in late 2025, with growth of only ~6% yearoveryear and a 42% drop in North America after policy changes.
• This slowdown extends the life cycle of internalcombustion and hybrid vehicles, supporting palladium demand into 2026.
• China’s EV momentum cooled, but strong vehicle export growth (up 52%) keeps palladium demand elevated through global supply chains.

Supply Landscape

Palladium deposits remain geologically scarce. Major producing regions include:

• Russia (Norilsk region) – one of the world’s largest sources
• South Africa (Bushveld Complex) – major PGM producer with periodic power and labor disruptions
• Canada (Sudbury Basin, Thunder Bay District)
• United States (Stillwater Complex, Montana)
• Philippines (emerging deposits)

Global mine supply has been roughly 210 metric tons (≈6.7 million oz) in recent years, with Russia and South Africa providing the majority.

Recycling

• Recycling—primarily from endoflife catalytic converters—now contributes over 25% of total supply and continues to grow with improved recovery technologies.
• As prices rise, scrap flows increase, adding supply and moderating price spikes.

Market Balance & Price Drivers

• Palladium experienced a major price rebound in 2025, rising over 83% by midDecember 2025   on concerns about Russian supply reliability and slower EV adoption.
• The 2026 outlook suggests: 
  • Steady but not explosive demand growth, tied to global lightvehicle production
  • Ongoing volatility due to concentrated supply, geopolitical risks, and substitution dynamics
  • Potential for price swings as recycling volumes respond to higher prices

Canada’s Role

Canada continues to produce ~600,000 ounces of palladium annually, largely from Ontario’s Sudbury Basin and Thunder Bay region—making it a meaningful contributor to North American supply.