AI Data Centre Demand Could Widen PGM Deficits

Published: Aug 7, 2026 19:12

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[SMM Express] AI-driven data centre expansion is emerging as a new source of platinum group metals (PGMs) demand that could further tighten markets already facing supply deficits. Valterra Platinum reportedly estimates AI-linked data centre demand for PGMs at 200,000–400,000 ounces, with potential to increase fivefold by 2030.

The additional demand is particularly relevant for platinum and ruthenium, which are already forecast to remain in deficit in 2026. Platinum's full-year deficit forecast has been raised to 297,000 ounces, while above-ground stocks are expected to fall below three months of global demand cover by year-end.

Meanwhile, hybrid vehicle growth is helping sustain automotive PGM demand despite rising battery-electric vehicle adoption. However, palladium remains an exception, with its weaker performance linked largely to an unresolved US trade dispute rather than AI-related demand.

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