Shanghai Nonferrous Metals News
China produced 43.2 kt of NPI (in Ni metal) in July 2020, down 3% m-o-m and down 14.7% y-o-y. The decline in high-NPI production can be attributed to maintenance of several larger high-NPI smelters – despite limited capacity growth from some small smelters. Low-NPI production grew slightly in July driven by increasing downstream demand from producers of 200 series stainless steel.
Looking forward to August, China NPI output is expected to increase by 1.9% m-o-m to 44.1 kt (in Ni metal) after smelters resume operation after overhauls. Driven by increasing demand from stainless steel producers, domestic NPI supply is expected to be tight and weigh on prices in August.
