Power generation problems, labour disputes, safety-related stop-
pages and a number of other issues are adversely affecting produc-
tion of the platinum group metals (PGMs).
However, recovery of platinum, palladium and rhodium from auto-
motive catalytic converters is continuing to climb year on year. This
article reviews the key factors influencing the PGM markets and is
based on a report written by Ashok Kumar and Rajesh Seth of US-
based A-1 Specialized Services & Supplies, Inc. – a leading global
player in the recycling of PGMs.
Recycled platinum group metals (PGMs) fromspent automotive catalysts – at one time consid-
ered simply an addition to primary supplies – has now
become a significant and required source of new met-
al. Indeed, supply from this source will help to miti-
gate projected primary production losses for 2008.
A-1 estimates that 980 000 ounces of recycled plat-
inum will be made available from this source in 2008,
up 6.5% from last year’s 920 000 ounces. Also for cal-
endar year 2008, it is estimated that palladium recy-
cled from spent automotive catalysts could total
1.075 million ounces – equivalent to an increase of
95 000 ounces from 2007 levels. Rhodium recovered
from salvage converters could jump from 190 000
ounces to nearer 215 000 ounces over the same com-
parative period.
Automotive converter manufacture continues to
account for some 60% of total platinum and palladi-
um demand and for around 85-90% of rhodium con-
sumption each year. There has been a steady
increase in the flow of recycled converters in recent
years as a consequence of record high prices for the
PGMs – specifically for rhodium and platinum – and
greater efficiencies inherent in the maturing US and
EU salvage automotive catalyst markets.
Additionally, the enactment of recycling initiatives
such as the EU Directive on End-of-Life Vehicles,
which makes manufacturers responsible for the col-
lection of obsolete cars, has markedly boosted
awareness and recovery rates. In Europe, converters
were first installed on cars in 1992, and so it is only
in very recent years that these vehicles have become
available for reclamation in large quantities.
Recovery could triple
A-1 estimates that total PGMs recovered from
recycled automotive catalysts grew at a compound
rate of 14.5% to 2.27 million ounces for the five-year
period that will end in 2008; this compares to an
11.3% growth rate in the previous five-year period.
Even when applying a more modest 11% expansion
rate, A-1 projects that PGMs derived from spent
Recycling International • April 2008 46
P R E C I O U S M E T A L S
Catalyst recycling ever more
crucial to PGM supply
Recycled platinum group metals (PGMs) from
spent automotive catalysts have become a
significant and required source of new metal.
By Patrick Magilligan, Ashok Kumar and Rajesh Seth
A-1 Specialized Services & Supplies Inc.
RI_013_Precious Metals:Opmaak 1 03-04-2008 15:06 Pagina 46
