The long-term raw material storage demand of steel mills is approaching, and the price of nickel pig iron is driven by the upward drive [Nickel Pig Iron Daily Review]

SMM, May 17, On May 17, the average price of SMM8-12% high-nickel pig iron was 973 yuan/nickel point (ex-factory tax included), up 3 yuan/nickel point from the previous working day. On the supply side, it will take time for Indonesia to approve nickel ore in May, the shortage of raw materials in Indonesian smelters has not improved, and the output of Indonesian nickel pig iron smelters is weak. Domestically, some smelters have resumed production after maintenance, but due to the impact of nickel pig iron production costs, the total amount of resumption of production is limited, and domestic smelters still maintain a low operating rate. On the demand side, in late May, the long-term raw material storage cycle of steel mills is approaching, and the market activity will increase in the short term. To sum up, under the background of tight circulating volume and cost support, it is expected that the price of ferronickel will be stable and strong in the short term.