Copper, gold, silver, platinum–palladium: What’s next for the electronics industry?

Copper: A foundation of infrastructure and electronics

Copper has long been regarded as a barometer of global economic health, but in recent years it has also taken on strategic importance. It remains the primary conductive material in electronics, used in cables, printed circuit boards, transformers, and power systems. According to the latest Reuters survey, the average copper price in 2026 is expected to reach around 10,500 USD per tonn which means an increase of more than 7% from previous forecasts. The main driver of this situtation is limited supply, caused in part by flooding at Indonesia’s Grasberg mine, one of the world’s largest, and reduced mining activity in Chile and Peru. Analysts project a copper market deficit of about 124,000 tonnes in 2025 and around 150,000 tonnes in 2026. Global production is struggling to keep pace with growing demand, driven by electrification, renewable energy projects, and grid expansion.

For electronics manufacturers, this means increasing cost pressure in copper-intensive segments such as cabling, PCB production, and power systems. At the same time, it is visible the need to strengthen procurement flexibility and shorten supply chains. Attention is also drawn to accelerating research into material alternatives and copper-saving technologies. In the long term, copper remains one of the pillars of the energy transition, and therefore one of the most strategic raw materials for Europe’s electronics sector.

Gold and silver: Between industrial use and value stability

Gold and silver are often viewed through a financial lens, yet their industrial role is equally significant. Gold is used in soldering, connectors, and high-reliability components, while silver plays a vital role in memory devices, sensors, solar panels, and electrical contacts. According to Reuters, the average gold price forecast for 2026 is around 4,275 USD per ounce, while silver is expected to average 50 USD per ounce. These high levels reflect not only geopolitical uncertainty but also strong industrial demand.

Silver, in particular, remains under structural pressure: its use in photovoltaics and electronics ensures sustained demand regardless of economic cycles. For component manufacturers, this could mean higher material costs in applications requiring precious metals, growing interest in alternative soldering and coating technologies as well as increased focus on recovering precious metals from production waste.

Platinum and palladium: Supply pressure and shifting demand

Platinum and palladium — both part of the platinum-group metals — posted significant price gains in 2025: up 76% for platinum and 56% for palladium. Forecasts for 2026 remain strong, at 1,550 USD per ounce for platinum and 1,260 USD for palladium. Key factors include constrained supply from South Africa, ongoing trade tensions between the US and China, and potential new futures contracts in Asia.

While most demand for these metals still comes from the automotive industry (mainly catalytic converters), their presence in sensors, microwave circuits, hydrogen fuel cells, and chemical or electronic catalysis is steadily expanding. As transportation electrification progresses, demand patterns are shifting. To be clear, palladium’s role is declining in internal combustion engines, while platinum is gaining relevance in industrial and energy applications. For the electronics industry, this could translate into price volatility but also opportunities for material innovation.

Commodity trends and production strategies

Changes in the global metals market are increasingly influencing the strategic planning of electronics companies. High prices and supply uncertainty are pushing producers to rethink procurement models and invest in material research. Many manufacturers are now exploring diversification of supply sources, including increased procurement within the EU and EMEA regions. On the table is also building strategic stockpiles of metals with unstable availability as well as collaborating with recycling companies to secure alternative raw material sources. The last strategy worth mentioning is developing material-efficient technologies that reduce dependence on primary resources.

At the same time, European policy initiatives such as the Critical Raw Materials Act are becoming central to securing local supply chains and reducing dependence on imported metals critical to digital and green transformation.

Key takeaways for the electronics industry

Mining and geopolitical risks must be closely monitored, as floods, strikes, or trade tensions in regions such as Chile, South Africa, or Indonesia can quickly affect global supply and prices. At the same time, production budgets should account for potential cost increases in copper, silver, and platinum. Companies shouldn’t forget about diversifying supply chains by working with multiple suppliers from different regions can reduce production risks. 

It is worth to emphasize once again that rising metal prices make recycling and recovery of raw materials from electronic waste increasingly viable. Trade and environmental regulations are likely to shape the cost of key metals over the coming years. That’s why long-term thinking will be crucial: pressure on raw materials may accelerate innovation in resource efficiency, potentially becoming a competitive advantage for electronics companies.

Conclusion

The rise in metal prices only highliths nderscores how deeply interconnected the worlds of energy, industry, and technology have become. Copper, silver, gold, platinum, and palladium not only determine production costs but also shape the direction of material innovation and supply-chain resilience. As Europe strives for greater technological autonomy, understanding commodity trends and their industrial implications is becoming a core component of strategic planning in the electronics sector.