Umicore has today announced it is ready to introduce a new diesel emission control system for passenger vehicles, which uses a platinum-palladium catalyst.

Until now, platinum, which is three times more expensive than palladium, has been the only material capable of fulfilling the catalyst function.

The metals and materials group explained that the breakthrough follows advancements in modern engine management systems and the increasing availability of low sulphur diesel fuel.

"Umicore is ready to introduce a new diesel oxidation catalyst technology which will at this stage enable the replacement of approximately one quarter of current platinum loadings by palladium," the company explained in a statement.

"This new technology developed by Umicore will provide automobile manufacturers with a degree of flexibility in their choice of catalyst materials for diesel emission control systems."

Umicore hope that the technology will be ready for market launch next year.

Bernard Hanssens, analyst for Bank Degroof, told Reuters that the development would be welcomed by car manufactures, especially given the current surge in platinum prices.

"We believe this development will be welcomed by automobile manufacturers as it will increase their choice of catalyst materials for diesel emission control systems," he stated.