GM aims to cut PGM use by 17 percent by 2006
Date: 20-Sep-02
Country: USA
From 1999 to 2001, the company lowered the amount of
platinum, palladium and rhodium used in catalytic converters
by 45 percent, said David Andres, GM purchasing director for
commodity traded metals worldwide.
"Plans are are in place for further reductions in our PGM
use - an additional 17 percent reduction between now and
2006 and we're certifying to a higher emissions standard
effective 2004," Andres said at a seminar hosted by precious
metals consultants CPM Group.
Andres said new technology has allowed GM to use less of the
metals, which have been subject to extreme price volatility
and erratic supplies in recent years.
Russia accounts for around two-thirds of the world's
palladium production and a fifth of its platinum.
Leading car manufacturers depend on both metals as
autocatalysts to extract hydrocarbons and other harmful
pollutants from exhausts and complained bitterly in the past
of unexplained disruptions in Russian shipments.
The situation deteriorated so badly that GM once dubbed
palladium "unobtainium" and then swiftly changed its name to
"plentium".
Ford Motor Company took a $1 billion charge last year on its
platinum group metals stockpile after prices slumped.
The automobile sector has been trying to make catalytic
converters more efficient to reduce their dependence on the
metals and meet increasingly stringent global emission
standards.
Based on estimates of supply, cost and the amount of
platinum group metals required for the 38 million
automobiles subject to low emission vehicle rules globally,
Andres said GM engineers are instructed to estimate future
loadings of not more than 1.5 grams of platinum, 3.0 grams
of palladium and 0.3 gram of rhodium per vehicle.
GM is also working on fuel cells as an alternative to
internal combustion engines. Fuel cells now use about 2
ounces of platinum group metals per unit, Andres said.
The company is showcasing its Autonomy fuel cell concept car
this year. Andres predicted that fuel cell propulsion would
be economically viable by 2010, and by 2020 GM expects fuel
cell cars to be affordable with deep market penetration.
But he said "Price chaos in platinum could well set back
development of fuel cells by a decade or more."
