In March, China's nickel sulfate production reached 262,200 tonnes, or 57,700 tonnes in Ni. content (based on a revised sample of 60 companies), up 31.41% month-on-month. The production comprised 0% nickel briquette/powder, 56.35% MHP, 35.24% high-grade nickel matte, 7.02% secondary nickel by raw material, and 1.39% NPI. This includes approximately 13,700 tonnes of nickel sulfate used to produce nickel plate.
Source: Mysteel
The sharp increase in March was primarily driven by the resumption of production at ternary precursor plants, which boosted demand for nickel sulfate. Additionally, the widening price spread between nickel sulfate and refined nickel improved profit margins for nickel sulfate producers, raising their operating rates. The restart of plants that had undergone maintenance earlier, along with the gradual ramp-up of new capacity, further lifted the overall production.
For April, nickel sulfate production is expected to reach approximately 55,700 tonnes in Ni content, down 3.37% month-on-month. Following the post-Chines New Year holiday and post-maintenance recovery period typically seen in March, the production of nickel sulfate is expected to ease slightly in April.
Written by Cora Ji, jiruyan@mysteel.com
