[SMM Precious Metals Express]

Published: Oct 16, 2026 13:36 (GMT+8)

Save

Although palladium prices have dropped roughly 30% year to date, with the market largely focused on weak demand and oversupply concerns, capacity restructuring by Russian mining giant Nornickel is exposing the global palladium supply chain to potential structural risks. In July, Nornickel completed the consolidation of its precious metals processing capacity, relocating copper anode slime calcination operations from its Norilsk Copper Plant in Siberia to its Kola Mining and Metallurgical Company (Kola MMC) facility in Monchegorsk on the Kola Peninsula. As Nornickel accounts for approximately 40% of global primary palladium supply, the consolidation means nearly 40% of the world’s critical palladium processing capacity is now concentrated in a single production

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

2 hours ago

Platinum futures oversold recovery, spot market consumption healthy [SMM daily review]

2 hours ago

22 hours ago

Platinum-Group Metals See Sharp Decline Amid Inflation, CPI; Rhodium Drops, Iridium Rises, Ruthenium Steady

SMM News, October 15: Driven by multiple factors including rising inflation figures and higher‑than‑expected CPI readings, platinum‑group metals posted an overall sharp price decline. Sub‑segments within platinum‑group metals showed divergent performances. Rhodium saw a minor drop of around RMB 25 per gram today, while iridium kept climbing and tested the RMB 2,200‑per‑gram level. Ruthenium has remained strong recently; however, weighed down by shifting market sentiment from bullish to bearish across precious metals amid rate‑hike expectations, ruthenium prices held steady on poor trading volumes.

22 hours ago

CPI Data Triggers Macro Pressure; Platinum and Palladium Futures Plunge After Holiday While Spot Market Trading Is Active [SMM Platinum and Palladium Weekly Review]

This week (Oct. 8–15), platinum and palladium first fell to catch up with losses before rebounding, then slumped again after US September CPI came in above expectations. The week ended with sharp declines, with palladium falling significantly more than platinum. The most-traded PT2612 contract dropped 6.85% on the week to close at 391.4 yuan per gram, while the most-traded PD2612 contract fell 9.84% to close at 263.45 yuan per gram. Trading activity in the spot market was relatively brisk, with premiums for both platinum and palladium moving to parity with the most-traded contracts. Sticky inflation has fueled expectations of further rate hikes, weighing on valuations. Prices are likely to consolidate at lows in the near term. Going forward, the market will focus on Warsh's speech on Oct. 15, the Fed's policy meeting at month-end, and geopolitical developments.

22 hours ago