But with lithium iron phosphate (LFP) batteries making a comeback in the EV market in China, a shadow is being cast on the growth potential for nickel consumption in 2022.
The stainless steel market, which accounts for approximately 90% of nickel consumption, could offer some hope, however. In China, the sector performed strongly in 2021, and expectations are high that markets beyond the country will experience a post-pandemic recovery next year.
“Nickel prices are already very high, and have little potential to move higher. I’m bearish about nickel prices, [and] expect London Metals Exchange nickel prices to fall to around $15,000-16,000 per tonne,” one battery producer source said at the sidelines of the annual Nickel & Cobalt conference held by Chinese information provider Antaike
on November 1-3 in Ningbo, in China's Zhejiang province.
But another attendee had a different view.
“I’m in the bullish camp,...