Nickel supply shortage risk from increasing demand of stainless steel & electric vehicle battery
15 Apr 2019 16:16 reported by Alex Lo
In order to satisfy and meet the global demand, it will need another 1.3 million tons of nickel in the future 10 years. If considering the possible reduction in inventory, the global demand for nickel will be up to 1.45 million tons.
Except the traditional demand from stainless steel, electric vehicle will become the power of nickel demand, said Jim Lennon, Senior Commodities Consultant of Macquarie Capital.
Lennon also mentioned although there were some big investment in nickel, if those investment was postponed, nickel market will fall into short supply.
Lennon previously estimated the nickel price will be up to US$18,000/ton at the end of this year because the biggest producer Indonesian production slowed down. Also, under the expectation of increasing demand of stainless steel, it will make the global nickel market still remain shortage.
Back to Steel News