Entire Downstream Industry Chain In Destocking Process Prevented Nickel Sulphate Prices From Rising  

Nickel sulphate prices were little changed in the week ending December 28. In December, the entire downstream industry chain was in the stage of production reduction and destocking, which negatively affected the upstream precursors. The orders for precursors weakened, undermining demand for nickel sulphate. However, given stable nickel sulphate price recently and restocking by downstream precursor plants in January, the market inquiries have picked up. Limited spot supply after sharp output cuts in December, combined with losses facing nickel salt producers, discouraged suppliers from cutting offers further. However, due to weak demand, downstream producers still pushed for lower prices. Thus, the price negotiations between upstream and downstream buyers remained in a stalemate, weighing on the trading activities of nickel sulphate. Nickel sulphate prices failed to rise due to slack demand. Nickel sulfate price is expected to remain stable in the week ending January 5, and attention needs to be paid to the stockpiling of downstream precursors.