Prices for ruthenium, a less‑common member of the platinum‑group metals, have risen to an all‑time high as global supply struggles to keep up with growing demand linked to the booming artificial intelligence (AI) sector, market analysts and producers said on Monday.
The metal, critical to electronics, semiconductors and chemical processing, is increasingly used in AI‑related applications, particularly in data centre infrastructure and hard disk drive production, where its magnetic properties are valued. Expansion in cloud computing and data storage capabilities has accelerated demand, tightening the market for ruthenium.
Industry sources cited data showing that ruthenium benchmarks climbed sharply over the past year, driven by supply constraints and investor interest viewing the metal as a proxy for the AI technology build‑out. Producers warned that the market could see further price pressure as demand from technology companies continues to grow.
Supply of ruthenium remains constrained because it is typically produced only as a by‑product of platinum‑group metals mining, particularly in South Africa. Limited new mining investments over the past decade have compounded structural shortages, analysts said.
The metal’s record prices reflect broader shifts in commodity markets as technology demand reshapes traditional supply‑demand dynamics, with implications for manufacturers and investors navigating the increasingly strategic role of rare metals in advanced electronics.