SMM, April 8,
In March 2024, the national nickel pig iron output was 27,700 nickel tons, 662,000 physical tons, a decrease of 2.82% month-on-month, and a month-on-month increase of 5.95% in metal tons. Among them, there were about 225,000 physical tons of high-nickel pig iron and 211,900 metal tons, 437,000 physical tons and 64,900 metal tons of low-nickel pig iron, and about 30,000 physical tons of low-nickel pig iron. This month, the national ferronickel physical ton output declined, mainly due to the slow approval of Indonesia's RKAB in March and the impact of the rainy season in the Philippines, the supply of nickel ore was relatively tight in a short period of time, and the profit inversion of domestic ferronickel plants continued, and some small and medium-sized ferronickel plants stopped production. On the other hand, the metal ton increased month-on-month, affected by the domestic Spring Festival holiday in February, some integrated steel mills focused on maintenance and shutdown, and after the resumption of production in March, the output climbed sharply. Some steel mills in South China recovered with the recovery of 300 series production, and at the same time, the output of red and high nickel increased month-on-month. At present, domestic high-nickel pig iron smelters are running with the high price of nickel ore, and high-nickel pig iron is in a unilateral downward process in March, and domestic ferronickel production has declined.
It is estimated that the national nickel pig iron output in April 2024 will be about 27,000 metal tons, and the metal volume will be 2.52% lower than the March output. According to SMM research, some small and medium-sized ferronickel smelters in China have begun to stop production under the pressure of profit inversion, and the resumption of production will wait and see the market outlook. In summary, it is expected that ferronickel production will still show a decline in April expectations.
