By Paul Ploumis

SPOKANE (Scrap Monster):  The latest Metals Balances Report released by the World Bureau of Metal Statistics (WBMS) indicates that Nickel market has ended in a modest deficit during Jan-Nov ’16. Also, Tin market has recorded slight deficit during this period. The WBMS data suggests that global zinc market too recorded marginal deficit.

Nickel

Global nickel market ended in deficit of 84,600 tonnes in January-November 2016 with apparent demand exceeding production. The calculated full year surplus had stood at 73.5 kt during the whole year 2015, according to WBMS.

The statistics indicate that that reported stockpiles maintained by LME were 74.3 kt lower at the end of November last year from the closing levels of 2015.

Production

World Nickel mine production was 1,784.8 kt in January-November 2016, lower by 166.0 kt when compared with the corresponding period during previous year. The ban on exports by Indonesian administration has led to reduced mine output from the country. In addition, the local mine production from the country has continued to remain extremely weak ever since the beginning of 2014.

Refined Nickel production in Jan-November ’16 was 1,648.6 kt. The Chinese smelter/refinery production during the initial eleven-month period of the year witnessed decline of 37.0 kt compared to 2015. Meantime, demand surged higher by 49 kt in comparison with the previous year, mainly on account of rise in imports of Nickel Pig Iron from Indonesia and increased imports of the metal from Russia. The total smelter/refinery production of Nickel was 154.4 kt in November 2016.

 Demand

Refined Nickel consumption during Jan-November ’16 surged higher by 122.0 kt when matched with the previous year. Nickel smelter consumption was 156.0 kt in November this year.

The refined Nickel demand in Jan-November ’16 totaled 1,733.2 kt.

Tin

The worldwide Tin market has recorded a marginal deficit during January to November last year. There were no DLA deliveries during the eleven-month period, the data said.

As per WBMS data, the global Tin market recorded slight deficit of 35.0 kt during the initial eleven months of the year from January to November in 2016.

Global refined Tin production remained more or less flat during the eleven-month period. The Asian production held steady during Jan-November ’16, when matched with the production during the corresponding period last year.

The global demand for the metal has increased by 5.10% when matched with January to November in 2015. The demand totaled 355.0 kt during this period. The Chinese apparent demand saw significant uptick of 8.5% over the previous year. The Japanese consumption totaled 24.5 kt, nearly flat when compared with the demand recorded during January to November in 2015.

The reported stock of the metal declined during the initial eleven-month period of the year. The stock at the end of the first eleven months in 2016 was lower by 4.9 kt when compared with Dec ’15 closing levels. The reported stocks increased marginally by nearly 0.3 kt during the month of November 2016.

During the month of November alone, the global refined Tin production totaled 30.5 kt, as against the demand of 34.7 kt.

Zinc

The worldwide zinc market has recorded deficit during January to November last year. It must be noted that the zinc market had ended in surplus in the whole of 2015.

As per WBMS data, the global zinc market recorded deficit of 190 kt during the initial eleven months of the previous year from January to November. It should be noted that the worldwide zinc market had reported a surplus of 101 kt during the entire year 2015.

Global refined zinc production witnessed decline of 2.5% during the initial eleven-month period of 2016. The Chinese production of locally refined zinc increased marginally by nearly 1.2% when compared with 2015.

The global demand for the metal witnessed decline of 4 kt when matched with January to November in 2015. The Chinese apparent demand totaled 6,137 kt and accounted for over 48% of the global total. The Japanese demand for the metal decreased slightly by 2% when matched with the levels recorded during Jan-November ’15. The demand during the eleven -month period totaled 447 kt.

The reported stock of the metal has declined by 74,000 tonnes during the initial eleven months of the year. Also, LME zinc stocks dropped by 8,800 tonnes during the month of November and accounted for 44% of the global stock of the metal. The LME stock levels at the end of November this year were 21.0 kt lower when matched with end-2015 levels.

The Chinese zinc metal imports, mostly special high grade zinc dropped by 48 kt during Jan-November ’16 to 401 kt when compared with the imports during the same period last year. The imports of metal by China totaled 25 kt during the month of November last year, more or less flat when compared with the imports recorded during the month before.

The zinc slab production during November ’16 totaled 1,188.20 kt and the consumption totaled 1,213.20 kt.