Platinum and palladium could be set for a surge in demand in China as a result of the new Waste Electrical Electronic Equipment (WEEE) and Restriction of Hazardous Substances (RoHS) directives.

The legislation is intended to mark the move to lead-free electronics and will take effect from July this year with the aim of making electrical devices less damaging to the environment.

Now manufacturers are beginning to consider alternative substances for electronic components, according to the Electronic Engineering Times.

Options under consideration include gold and tin, and also the pgms, either just the metals themselves, or as an alloy.

However, there have been some reservations expressed about the use of the replacement metals, namely due to the expense and also some issues with the efficacy of the alternatives.

The mainland Chinese government has sought to hasten the move to a lead-free industry, offering funding for projects and training.

In conjunction with local authorities it has also tried to incentivise the new environmentally-friendly policy and is working with firms and experts to develop potential solutions.