The price of gold affects the luxury market and a rare metal emerges as an alternative

An unknown precious metal for the general public displaced the gold, historically recognized and sought after for its exceptional properties and unmatched beauty, in the weighting of investors. The impact of the price of gold already affects luxury activities, such as watches.

Is called rhodium, It is from the platinum family, and is rarely seen in the world, but it shines in Latin America, more precisely in Colombia and Brazil.

It reached a peak of $28,775 per ounce in 2021, surpassing gold, which was priced at $1,800 per ounce, according to the economic media Statista.

With a silvery shine and resistance to corrosion, it is a key metal in luxury jewelry as a coating to improve shine and durability, and in the automotive industry, as an essential component of catalysts to reduce polluting emissions.

World production

Although the amount extracted in Colombia and Brazil is small compared to the giants of global production, both countries managed to establish themselves as important players in the market for this metal due to their link with platinum mining.

Colombia is known for its rich mineral deposits in the department of Chocó, where rhodium is obtained as a byproduct of platinum mining.

The town has historically been a key point for the extraction of precious metals, and rhodium is no exception.

Although production is limited, Chocó remains a relevant source for this rare metal in Latin America.

For its part, Brazil also produces rhodium, mainly in the Minas Gerais region.

As in Colombia, it is extracted together with other platinum group metals, which positions the country on the map of global rhodium production, also made up of other countries that stand out for their deposits rich in platinum group minerals. .

The main producers of rhodium are South Africa, Russia and Zimbabwe.

The first is the undisputed leader, being responsible for approximately 80% of the world’s supply of this metal.

The mines located in the Bushveld Belt are especially rich in rhodium, establishing the country as the largest supplier internationally.

Russia, for its part, also plays an important role in the rhodium market, with significant production in the Norilsk region.

Finally, Zimbabwe contributes a smaller, but no less relevant proportion, obtaining the metal mainly from the Great Dam.

Rhodium is one of the rarest metals on the planet. Its presence in the Earth’s crust is extremely limited, with concentrations that hardly exceed 0.001 grams per ton of rock.

Global automotive demand has caused the price to skyrocket in recent years.

Rolex adjusts its prices in 2025 with increases of up to 8% after the rise in gold

Renowned Swiss luxury watch brand Rolex began 2025 with a significant increase in prices for some of its most iconic models. This decision is directly related to the notable increase in the value of gold during 2024, when it recorded its largest annual increase in 14 years, with an increase of 27%.

Details of the increases

Models made of precious metals, such as Yellow gold day-date and the GMT-Master II yellow goldexperienced the most significant increases, with increases of up to 8%. For example:

• The 40mm yellow gold Day-Date went from 41,000 euros to 44,200 euros.
• The yellow gold GMT-Master II rose 41,300 euros to 44,600 euros.

In contrast, steel models, such as Cosmograph Daytona and the Undated Submarinerrecorded more moderate increases, of 3% and 1.6% respectively.

Factors behind the adjustment

Rolex, which traditionally adjusts its prices on Jan. 1 each year, said the increases reflect rising costs of materials, such as gold, and inflation. Although it did not issue official comments on this adjustment, analysts point out that currency fluctuations have also historically influenced prices, as occurred in 2022, when the Swiss franc strengthened against the pound sterling and the euro, driving adjustments in those markets.

An indicator of the luxury market

With an estimated production of more than one million watches per year and sales of more than 11 billion dollarsRolex is a key barometer for the luxury sector. The steeper increases in precious metal watches, compared to steel models, highlight market dynamics and the strength of the premium segment.

The impact of these increases may extend beyond the brand, reflecting the state of global luxury consumption and economic conditions in different regions. As Rolex consolidates its position as a market leader, attention remains on how fluctuations in commodity prices and currencies shape the future of luxury.