SMM #1 Refined Nickel Price Falls by 250 Yuan/MT, Jinchuan Premiums Drop 100 Yuan/MT

[SMM Nickel Flash] July 13 news: Supply side, some mainstream supply sources are holding firm on high price intentions, with the upstream overall showing a strong willingness to hold prices firm. Procurement side, some end-user enterprises have lowered their psychological purchase price expectations in reference to the decline in steel scrap, while other buyers, concerned about market fluctuations ahead, have slowed down their procurement pace.

[SMM Nickel Flash] July 13 news: The SMM high-grade NPI market sentiment factor was 2, down 0.03 MoM, the upstream sentiment factor for high-grade NPI was 2.17, down 0.07 MoM, and the downstream sentiment factor for high-grade NPI was 1.83, unchanged MoM. Today, bullish and bearish expectations in the spot high-grade NPI market continued to diverge, with spot circulating supply overall tight, and transactions at both upstream procurement and downstream sales were hampered, leading to overall limited actual transactions in the market.

According to the BIR Stainless Steel & Special Alloys Committee's latest report, EU CBAM and steel safeguard measures have significantly protected the European market from global overcapacity, with import penetration reportedly falling by around half in early Q2. Despite this, standard stainless steel scrap prices have weakened due to holiday shutdowns, maintenance outages, increased slab imports, softer order intake, and lower nickel prices partly linked to Indonesia's consideration of higher mining quotas. European mills maintain conservative production and cautious scrap purchasing, with limited availability providing some floor support. In Asia, Taiwan's high summer electricity costs have dampened scrap demand; South Korea stabilized post-maintenance; India prioritizes domestic recycled material amid LME volatility and elevated freight costs, though domestic supply remains insufficient. US industrial sectors continue generating healthy scrap volumes, while the Middle East market remains resilient despite geopolitical headwinds, with GCC demand supported by infrastructure and energy projects. High-quality, traceable scrap continues to attract firm demand regardless of near-term nickel price fluctuations.