SHANGHAI, Aug 7 (SMM) — China’s NPI output fell 3% from June and 14.74% from a year earlier to 43,200 mt (Ni content) in July. This included 36,000 mt (Ni content) of high-grade NPI, down 3.87% on month, and 7,200 mt (Ni content) of low-grade NPI, up 1.56% month on month. Maintenance at some NPI plants led to the decline in high-grade NPI output. Some integrated steel makers increased output of #200 stainless steel, contributing to the rise in low-grade NPI output.
SMM expects China’s NPI output to rebound 1.9% on month to 44,100 mt (Ni content) in August as some plants will return to normal production from maintenance. High-grade NPI output is likely to increase 2.16% to 36,800 mt (Ni content), and low-grade NPI output to inch up 0.56% to 7,300 mt (Ni content) in August, both on a monthly basis.
Demand for NPI increased as stainless steel output expanded, but the rise in NPI imports from Indonesia failed to accelerate as Indonesian stainless steel makers also raised output. Tighter domestic NPI supply may buoy NPI prices, which is likely to limit the decline in third-quarter NPI output in China.
![[SMM Analysis] Influenced by macro sentiment, MHP and high-grade nickel matte prices declined this week.](https://imgqn.smm.cn/usercenter/CWsEw20251217171732.jpeg)
