Global Precious Metal Market by Product (Silver, PGM, Gold), by Application (Industrial, Jewelry, Investment) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

In 2019, the global precious metal market was worth USD 182.1 billion. It is projected to grow at a 9.0% compound annual growth rate (CAGR), in terms of revenue, from 2020-2027. The industry's growth will be influenced by the demand for jewelry applications.

In the next few years, the use of gold in jewelry is expected to continue its steady growth. In India and China, the commodity of gold is an integral part of marriages. A significant portion of this product is used as jewelry and ornaments. In India, for instance, there were approximately 10-12 million weddings per year. The total market estimate was more than USD 40 Billion as of 2018. Similar to China, China's wedding space saw nearly 10.1 million marriages registered in 2018. In the future, the Indian and Chinese wedding market spaces will offer many growth opportunities for the gold jewellery market.

According to the United States Geological Survey (USGS), the U.S.'s total production of precious metals was approximately 1,195.6 tonnes in 2020. This category saw gold production reach nearly 200 tonnes in 2019, and 15.6 tons for platinum-group metals (PGM) in 2019. Sibanye-Stillwater is the only producer of PGM in the United States and Montana was responsible for mining PGM resources.

As of 2019, the jewelry sector held a significant share of the U.S. precious Metals Industry, while also capturing almost 40% of the volume. Nearly 50% of product demand was consumed by gold jewelry vendors in New York, Rhode Island and California.

The global pandemic is expected to cause a sharp decline in demand for the commodity. The United States is one of the most affected countries by coronavirus. Its unemployment rate reached an all-time high at the end of the first quarter of FY2020. This country has seen its highest unemployment rate since the Great Depression. Nearly 20.5 million people lost their jobs in April 2020, as the unemployment rate rose to 14.7%. This is a stark decline trend that will likely lead to stagnant growth for the precious metals sector of the country in the near future.

It is expected that domestic industrial activity in the United States will rebound despite the coronavirus epidemic. However, the government of the country should make special provisions to support the manufacturing sector. The April 2020 congress passed a relief package of almost USD 484 billion to fight the coronavirus epidemic. This new package of aid, which is specifically designed to boost manufacturing, could be a positive sign that the industry will see in the near future.

Product Insights

The market leader was silver, which accounted for over 84.0% of global volume in 2019. The market can be divided into three segments: gold, silver and platinum group metals. Due to its widespread use in the industrial and jewelry sectors, as well as its low cost, silver will likely dominate the market during the forecast period.

Mexico and Peru will continue to be the main production hubs of silver commodities in 2019, according to projections. According to USGS stats, Mexico produced 6,120 metric tonnes of silver in 2018, followed by Peru's 4,160 metric tons. Russia, Australia, Chile, and China are also key producers.

Gold dominated the market in terms of revenue and held 77.5% of the market's share in 2019. This was due to its high trading price and increased use in the jewelry industry. New mines were commissioned in 2019, ensuring that the gold production has been growing steadily for the past 11 years. Meliadine mine, owned by Agnico Eagle mines Ltd., and Gruyere mine, owned by Gold Fields Ltd. & Gold Road Resources Ltd. will likely add to a large portion of the new production. New product additions will likely further boost the commodity's demand over the next few years.

Over the forecast period, PGM will likely experience slower growth than its counterparts. Already, the downturn in automobile vehicle production is affecting the demand characteristics of platinum and palladium. For FY2020, the emergence of a pandemic in global will likely limit automobile production. This is causing a lower demand for autocatalyst which will in turn affect the market reality for the PGM product category in the short-term.

Application Insights

The market's largest segment, the industrial application segment, accounted for over 44.0% of global volume in 2019. This segment's growth can be largely attributed the the growth in the electrical and electronic sector. The majority of silver commodities are used for different purposes.

Jewelry is the second most popular use of the product. Despite its current turmoil, the sector is expected to provide positive prospects for the global precious metals market over the forecast period. In the coming years, the steady growth in India and China's gold jewelry industry will be a major driver. Both countries have a wedding industry that provides vendors with opportunities all year, which helps to support the demand for precious metals like gold and silver.

In terms of volume, the investment application segment will grow at the highest CAGR during the forecast period. Japanese investors are likely to keep their strong buying habits despite the continuing decline in platinum prices. Due to the higher discount rates than its counterparts, PGM commodities are attracting a lot of attention from Japanese investors.

Regional Insights

Asia Pacific was the dominant market, accounting for more than 37.0% of global volume in 2019. This region includes the emerging global powerhouses like China, Japan, India and Japan. China is the country with the greatest influence on the precious metals market. China is the largest consumer of PGM and gold as of 2019. China's strong domestic manufacturing sector is the main reason for China's demand for these commodities.

India's rise as an alternative powerhouse in the region is another key driver of market growth. India is Asia's second largest gold consumer. Due to its huge wedding industry, the country has a strong jewelry market. The country is also improving its manufacturing capabilities through foreign investment in areas such as chemical, energy, automobile, construction, and many other. India will play an important role in the future growth of the global precious metals sector.

North America is expected to grow at the second-fastest CAGR in terms volume. The region's market growth will be driven by the availability of silver resources in Mexico, and strong manufacturing bases in the U.S. & Canada. The market growth will be influenced by the simplified value chain in these three countries.

Europe will likely experience slower growth than its neighboring regions due to the slowdowns in the industrial and jewelry sectors. Due to the serious impact of coronavirus, stability is a major challenge for the region. The region's manufacturing centers have been severely affected by the global pandemic, which has led to stagnant demand and low supply of precious commodities.

In 2019, the industry's revenue share was small for Africa and the Middle East. The region is expected to grow at the highest rate of CAGR in terms revenue during the forecast period. This is due in large part to the Gulf countries which are shifting from an oil-dependent economy to a service- and tourism-based economy. This will likely play a significant role in the region's growth, positively affecting the market growth for the period.

Market Share Insights & Key Companies

The European Union and U.S. governments have taken a key step to trace the origin of the commodity. This will help to limit the black market activity in precious commodities. The regulators of the above regions have required the sellers of the market to disclose all details about the origin and sourcing of commodities.

Industry participants are now focusing their efforts on creating joint ventures that will explore and mine precious commodities from African countries. There are large untapped resources. Market vendors will have many opportunities to profit from the new mining projects that are expected to be developed. The following are some of the major players in the global precious metals market:

• Freeport-McMoRan

• Polyus Gold International

• Goldcorp

• Gold Fields

• Randgold Resources

• Newmont Goldcorp

• Barrick Gold

• AngloGold Ashanti

• Kinross Gold

• Newcrest Mining

Up Market Research published a new report titled “Precious Metal Market research report which is segmented by Product (Silver, PGM, Gold), by Application (Industrial, Jewelry, Investment), By Players/Companies AngloGold Ashanti, Newmont Goldcorp, Randgold Resources, Gold Fields, Freeport-McMoRan, Barrick Gold, Kinross Gold, Goldcorp, Polyus Gold International, Newcrest Mining”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

Report Scope

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Precious Metal Market Report Segments:

The market is segmented by Product (Silver, PGM, Gold), by Application (Industrial, Jewelry, Investment).

Precious Metal Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Precious Metal Market

Overview of the regional outlook of the Precious Metal Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Precious Metal Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Precious Metal Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Silver

                2. PGM

                3. Gold

                1. Industrial

                2. Jewelry

                3. Investment

8. Market scenario by region, sub-region, and country.
9. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
10. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
11. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Precious Metal Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

How you may use our products:

• Correctly Positioning New Products
• Market Entry Strategies
• Business Expansion Strategies
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• Understanding Competition Scenario
• Product & Brand Management
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Reasons to Purchase the Precious Metal Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.