INTL STAINLESS STEEL CONF: Nickel market deficit to shrink in 2020, Nornickel says

The global nickel supply deficit will shrink in 2020 despite the implementation of the latest Indonesian ore export ban, according to Denis Sharypin, head of commodity market research for Russian multi-metal miner Nornickel.

Sharypin was speaking at the 18th International Stainless and Special Steel Summit in Seville, Spain, on Wednesday September 18. While Nornickel, the world’s largest producer of nickel, estimated that the nickel market would show a deficit of 60,000-70,000 tonnes in 2019, it predicted that the deficit will shrink to 28,000 tonnes in 2020 even despite the Asian supply uncertainties. About 270,000-300,000 tonnes of refined nickel supply is due to come offline when Indonesia’s ore ban comes into effect at the beginning of next year, but Nornickel suggested that this would have a negligible effect on the global supply picture. “Additional supply hitting the market will negate the effect of ore coming offline from Indonesia,” Sharypin said. A project pipeline ramp-up, coupled with forecast lower economic growth in China and Indonesia, which are major nickel-consuming and -producing countries, will help to temper the market in 2020. About 204,000 tonnes of ore is forecast by Nornickel to...

Published

Amy Hinton

September 18, 2019

20:50 GMT

London