Ruthenium prices hit record high as AI boom squeezes supply

By Anushree Mukherjee

March 16 (Reuters) – Ruthenium, a minor metal in the platinum-group metals (PGMs), has surged to an all-time high as supply constraints and growing demand linked to artificial intelligence tighten the market, analysts and producers said.

Used in electronics, semiconductors, and chemical processing, ruthenium is seeing rising demand from AI-driven data storage and cloud computing. Expansion in data centre capacity is lifting hard disk drive production, where the metal is used in magnetic layers.

* Ruthenium prices were around $1,750 per ounce on March 13,according to data from LSEG, citing Johnson Matthey’s benchmarkprices, up from $560 per ounce a year earlier. * “The fact that it’s establishing itself as a ‘preciousproxy for the AI buildout’, investors have likely also expandedpositioning,” said Nicky Shiels, Head of Research & MetalsStrategy at MKS PAMP. * Wilma Swarts, director of PGMs at Metals Focus, predicts adeficit of 203,000 ounces in 2026. * Supply remains structurally constrained because rutheniumis produced only as a by-product of PGM mining, largely in SouthAfrica. * Platinum group metals output in South Africa fell 3.8%year-on-year in January 2025, Statistics South Africa datashowed. * PGM production in South Africa has been declining forseveral years due to limited investment in new mines over thepast two decades, Northam Platinum said.

(Reporting by Anushree Mukherjee in Bengaluru; Editing by Rashmi Aich)