The global platinum market is set to experience its first annual surplus since 2022, driven primarily by a notable slump in investment and jewelry demand. After hitting record highs early last year, platinum prices have faced significant downward pressure, falling 10% year-to-date to $1,840 per ounce. According to the World Platinum Investment Council (WPIC), this shift toward a surplus of 265,000 ounces is largely attributed to substantial outflows from platinum-backed exchange-traded funds (ETFs) during the first half of the year.

Despite the current surplus, the market began showing signs of tightening again in the second half of 2026 as ETF divestment leveled off and modest buying interest re-emerged. The WPIC notes that while demand in key sectors like automotive and jewelry remained weak—partly due to high prices and sluggish performance in China—the market is bolstered by historically low above-ground stocks. With total supply seeing a marginal increase due to a rise in recycling, the council maintains that these low inventory levels should continue to provide a floor for prices moving forward.