Shanghai Nonferrous Metals News
China produced 43.7 kt of NPI (in Ni metal) in October 2020, down 5.2% m-o-m. Of this figure, high-NPI output was 35.9 kt, down 6.9% m-o-m; and low NPI output was 7.7 kt, up 3.87% m-o-m. The decline in high-NPI output can be attributed to relatively weak demand from downstream stainless steel smelters, high production costs and shrinking nickel laterite supply during the month.
SMM forecast domestic NPI production to drop by 6.2% m-o-m and 22.97% y-o-y to 40.9 kt (in Ni metal) in November. As the beginning of rainy season in the Philippines curbed nickel laterite exports, stocks at smelters fell rapidly. Consequently, domestic NPI smelters have cut operations accordingly.