【SMM Flash News】 FINI Expresses Strong Opposition to New HPM Formula, Citing "Double Squeeze" on Indonesian Smelters

Published: Apr 16, 2026 13:25

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The Indonesian Nickel Industry Forum (FINI) has formally voiced its objection to the ESDM's revised HPM formula, warning that the resulting spike in ore prices could derail Indonesia's downstream development. FINI Chairman Arif Perdana Kusumah highlighted that the domestic smelting sector is already struggling with surging costs for sulfur, energy, and logistics; adding a multi-element valuation (Ni, Co, Fe, Cr) to raw materials creates a "double burden" when combined with proposed export duties on processed nickel. Furthermore, FINI argues that the new pricing logic, based on theoretical in-situ recovery rates rather than real-world economic margins, severely strains operational cash flow and risks stalling both existing operations and future expansion projects across the archipelago.

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