Norilsk Nickel has decreased its forecast of the global palladium shortage in 2020 to 0.2 million ounces due to the spread of the coronavirus.
In February, the company forecast the shortage on the level of 0.9 million ounces.
But uncertainty in the balance of demand and offer arose due to the coronavirus resulting in the decrease of car sales, in the manufacture of which the metal was used.
Thus, Nornickel estimates global palladium consumption this year at 10.6 million ounces as opposed to 11.5 million ounces expected earlier.
Moreover, the company sees a surplus of palladium of 0.6 million ounces, up from 0.3 million ounces. Global consumption could drop to 7.5 million ounces from 7.9 million ounces. (Ukrainian metal)