Nickel stocks in Shanghai bonded zone declined, but may grow as demand for nickel briquettes softens

Despite a strong Q1 performance with external ore sales reaching 8.3 Mwmt (+54% YoY), PT WBN (Weda Bay Nickel) is set to place its mining operations under "Care and Maintenance" in May 2026. This suspension follows a drastic 70% reduction in its 2026 RKAB quota (initially granted at 12 Mwmt versus 42 Mwmt in 2025). While limonite sales surged 2.2x to 3.6 Mwmt due to high HPAL demand at IWIP, the current authorized volumes fall far short of the park's estimated 100 Mwmt annual requirement. Although a revision request for a higher quota is currently under review by Indonesian authorities, the mine will suspend commercial operations with IWIP until approval is granted. Notably, PT WBN’s NPI plant will continue normal operations by drawing from existing ore stockpiles.

On April 23, 2026, Chinese Taiwan’s stainless steel wire rod exports surged 66% MoM to 10,230 tons, hitting a 15-month high. In India, a top producer launched a retail pilot for stainless steel rebars targeting infrastructure. Prices remain stable but firm; Indonesian 304 CRC FOB held at $2,112.5/mt, supported by tight nickel ore supply under the new HPM formula. While Asian buyers remain cautious, European mills are pushing for HRC price hikes of EUR 50-70/mt to offset rising procurement expenses, signaling a robust cost-driven floor for global stainless steel prices.

In March 2026, Chinese Taiwan’s stainless steel wire rod trade saw a robust recovery. Imports rose 38.6% month-on-month to approximately 1,200 tons, the highest level in over a year. Exports jumped 66.2% to about 10,200 tons, crossing the 10,000-ton threshold for the first time since last September. This volume growth was matched by rising prices, with export values hitting a 10-month high. The synchronized growth in both volume and price marks a significant shift from previous market volatility, signaling an overall improvement in business conditions.