Anglo American is to cut 3,700 jobs in its platinum division after profits plunged.
It blames “macroeconomic uncertainty”, and a 35 per cent fall in price of platinum group metals (PGM), which are used in catalytic converters as well as jewelry (electric cars don’t use catalytic converters).
Anglo American Platinum (Amplats) profits for 2023 were down 71 per cent to £586m.
The company, based in Johannesburg, South Africa, says it is now restructuring with the loss of almost a fifth of its total workforce.
“We have worked hard to address aspects in our business that are impacted by both the global and local challenges currently facing the PGM industry and have already implemented several key cost-saving initiatives,” said Craig Miller, Amplats CEO.
“However, given the market outlook and protracted low-price environment due to structural changes in our markets further measures are required to build the resilience that will sustain this business.”
Despite the layoffs, he said the company was optimistic about the long-term demand for PGMs.
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