China's nickel sulfate production stood at 186,300 tonnes in August, or 41,000 tonnes in Ni. content, up 4.66% month on month (MoM) according to Mysteel survey. The production comprised 0% nickel briquette/powder, 61.08% MHP, 29.8% high-grade nickel matte, and 9.11% secondary nickel by raw material.
The growth was due to the increase in demand in August and the partial recovery of profits for nickel sulfate companies, which boosted their production enthusiasm. At present, the rise in nickel sulfate production mainly comes from integrated enterprises.
Source: Mysteel
It is likely that China's nickel sulfate production will rise 1.13% MoM at 41,400 tonnes in September, and around 12,000 tonnes of nickel sulfate will be used to produce nickel plates. Additionally, demand for nickel sulfate is expected to slow down in the fourth quarter as the peak season comes to an end. Macroeconomic factors driving down nickel prices are likely to reduce the industry's enthusiasm for nickel sulfate, and the policies regarding nickel ore in Indonesia also have a noticeable impact on nickel products.
Written by Cora Ji, jiruyan@mysteel.com
