For today’s post, we’d like to put on our science fiction glasses and think about what the world could look like in the year 2050. We admit that it is unlikely that all the following conditions will have arisen by then, but let’s consider them anyway . . .
- The world’s platinum mines in South Africa, Zimbabwe, Canada, Russia and Montana are pretty much exhausted.
- Catalytic converters are history now that electric and fuel cell cars are the only ones being manufactured. If you want to see one, you’ll have to visit a museum.
- As much as 90% of all the platinum used for the manufacturing of jewelry and other products will come from recycling, not mines.
- The high tariffs that President Trump instituted back in the year 2020 will have become entrenched, and the international trade in all metals will have dwindled to a trickle.
- NAFTA is history, and imports of platinum from Canada to the U.S. have stopped too.
- Elon Musk’s new robotic mining company will be mining small quantities of platinum on Mars and shooting it to Earth in small capsules, where it is picked up in remote seas by battery-powered boats.
Okay, Enough Fantasizing
Will all those things happen? Of course not. Could any of them happen? Possibly.
But even if those predictions turn out to be nothing but science fiction, the trends they simply point to one reality that precious metals investors would be smart to accept . . .
The value of recyclable platinum scrap will never go down
The relative scarcity of platinum from new sources has already stimulated a very strong market for recycled platinum, which comes from sources like catalytic converters, old laboratory equipment, aerospace scrap, used platinum sponges, thermocouples, floor and bench factory sweepings, and old platinum jewelry.
What about the value of platinum coins and bullion? It will almost certainly increase in value in the years and decades ahead. But bear in mind, it is often more profitable to acquire platinum scrap for pennies on the dollar. You buy, for example, a bunch of floor sweepings and platinum screens and sponge from an old factory for $150, and after the platinum it contains is extracted and refined, it turns out to be worth 20 times that much. That’s not science fiction. And bear in mind, it would be highly unusual for a platinum coin or bar to increase 20 times in value after you buy it.
Call Us to Get a Bead on Platinum Scrap Investments
We don’t have a crystal ball that lets us see into the future. But we do know how much money can be made from recycling platinum scrap because we have been helping investors do that for years. Why not call us at 800-426-2344 today to learn more and make some plans for how you will profit from platinum in the future?