Rhodium Price

How the rhodium price has moved across key timeframes. Change is calculated from the opening price of each period to the current price.

Rhodium is one of the rarest and most valuable precious metals on Earth. It is primarily used in automotive catalytic converters to reduce nitrogen oxide (NOx) emissions. Rhodium prices have historically experienced extreme volatility — spiking above $29,000/oz in 2021 before collapsing over 95% by 2024.

Rhodium was discovered in 1803 by William Hyde Wollaston and remained a laboratory curiosity for most of its history. Its commercial importance began with the introduction of the three-way catalytic converter in the 1970s following US Clean Air Act regulations. South Africa's platinum group metal (PGM) mines began producing rhodium as a byproduct, establishing the current supply chain.

Over 80% of rhodium demand comes from autocatalysts — specifically three-way catalytic converters in petrol (gasoline) engines, where rhodium's unique ability to reduce nitrogen oxides (NOx) to nitrogen and oxygen is irreplaceable. No other commercially viable substitute exists for this function. Other uses include chemical process catalysts (particularly for nitric acid production), electrical contacts, and as a reflective coating for optical instruments.

Rhodium is almost exclusively a byproduct of platinum and palladium mining in South Africa, which produces approximately 80% of global supply. The remaining supply comes from Russia (Norilsk Nickel as a byproduct of its nickel-palladium operations), Zimbabwe, and recycling from spent catalytic converters. Global annual supply is only around 25–30 tonnes — making rhodium one of the world's scarcest produced metals.

Rhodium is priced in opaque OTC markets with reference to daily assessments published by Johnson Matthey and Heraeus. There is no exchange-traded rhodium futures contract. Key drivers include global automobile production (especially petrol vehicles), autocatalyst recycling rates, South African mining output and costs, currency effects (rand/dollar), and speculative positioning by trading firms.

Rhodium investment is challenging. There is no liquid futures market, and ETFs backed by physical rhodium are limited. Physical rhodium can be purchased as coins, bars, or sponge from specialist dealers at wide bid-ask spreads. Some investors gain indirect exposure through South African PGM mining equities (Impala Platinum, Sibanye Stillwater, Anglo American Platinum). Given its extreme price volatility, position sizing is critical.