Neither silver nor platinum, we’re talking palladium.
Palladium is one of the Platinum Group Metals with an atomic number of 46 and symbol Pd. It was first discovered in 1803 by William Hyde Wollaston.
Today, the metal is found mostly in South Africa (~66%) and Russia (~23%) with some mined in the US (~5%) and Canada (~4%). Due to its properties, palladium can be found in a variety of products, either as a direct component or as part of the manufacturing process.
The automotive industry generates one of the largest requirements for palladium with catalytic converters. But, the platinum group metals are also used in fuel cells for hydrogen based vehicles (explaining why the cells are so expensive).
Other uses for palladium include electronics, dentistry, medicine, chemical applications, purification treatments and other industrial applications – especially those with high temperatures.
Historically, palladium began in jewelry in 1939, but as an alloy. For platinum jewelry, a mixture of 90% platinum and 10% palladium made the platinum metal less soft without changing the beauty of the metal in the jewelry. Similarly, palladium mixed with gold became a version of white gold.
Now, however, jewelers are using palladium, a beautiful white metal in its own right, in jewelry designs. Begun primarily in China, the palladium jewelry movement is spreading.
In China, people view jewelry as a status symbol. Palladium polishes to a brilliant shine and provides a beautiful backdrop for gemstones and other jewelry designs. Plus, palladium’s physical weight is less than its counterparts of platinum and gold which allows for larger, more extravagant pieces of jewelry.
With this increased usage in jewelry, the United Kingdom added palladium to their Hallmarking Act. You can view a picture of their hallmark here.
In looking at the Platinum Group Metals, it seems as the prices increase for the ore, engineers and scientists look for alternatives to the metals. Roughly ten years ago, palladium grew in value to be comparable to platinum, and in the next two years, the market requirement for palladium dropped significantly. Since then, palladium continues to lag behind platinum.
Will the need for the metal continue to grow in the next ten years allowing the price to continue to increase? Or, will the increase in the price of the metal force the market to find alternatives? Will jewelry makers – individual and mass production – drive an increased need in palladium?
Watching the metals’ performance, up and down (like today), can be entertaining and also educational as you attempt to figure out what influences the prices. And, the research provides some answers, but it also raises more questions!
Informational resources:
Palladium Hallmarking in the UK
Platinum Group Metals – Pricing 1959 – 1998
Platinum Group Metals – World Supply and Demand
Bicentenary of Four Platinum Group Metals – Part I Rhodium and Palladium