Jinchuan Cuts Nickel Price a Further 3%

SHANGHAI, Sept. 7 -- Jinchuan Group has cut its benchmark nickel price by a further RMB 4,000/mt (USD 585/mt) last Friday, tracking the LME, after trimming its price by the same amount on Tuesday.

    Jinchuan's new benchmark price is RMB 141,000/mt, down 2.8% from the previous offer, roughly tracking the 2.5% drop in LME three-month nickel price to USD 18,300-18,415/mt on Friday from Tuesday.

    This takes China's largest nickel producer to the closest it has been to market prices since August, said market participants.

    "Many traders are offering at around RMB 141,000/mt this morning, while buyers are quiet with no deals concluded so far," said an analyst in Shanghai.

    Spot nickel is being quoted at RMB 137,500-141,000/mt in the Chinese domestic market on Friday, according to Changjiang Nonferrous Market.

    Demand was falling while supply remained sufficient, said traders.

    There are rumors that stainless mills plan to cut nickel purchases in fourth quarter and China's biggest stainless steelmaker Taiyuan Iron & Steel Group plans to start maintenance in end-September or November.

    (Source: Metal Bulletin)