In November, China's ferronickel and NPI imports totaled 679,900 mt in physical content, down 

Customs data shows China's November 2023 ferronickel and NPI imports were 679,900 mt in physical content, down 24.95% MoM but up 13.78% YoY. Imports were 89,300 mt in nickel content, down 23% MoM. China imported 50,000 mt of ferronickel, up 21.8% MoM; imports from South Korea were 8,300 mt in physical content, slightly down. NPI imports were 629,900 mt in physical content and 77,700 mt in metal content, down 27.17% MoM. In November, the incentive to make high-grade nickel matte from NPI lessened as the price gap between high-grade NPI and nickel matte shrank. Despite new high-grade NPI production ramp up in Indonesia increasing local output, exports to China decreased. November saw weak domestic demand for 300 series stainless steel in China, reducing production and raw material needs. Meanwhile, Indonesia's stainless steel production ramp up, boosting local demand for high-grade NPI. In summary, China's November high-grade NPI import drop was mainly due to reduced domestic demand. December's domestic stainless steel production increase is expected to be modest, potentially keeping high-grade NPI imports low.