Indonesia’s nickel production capacity is set to grow substantially over the next two years, according to Septian Hario Seto, a member of Indonesia’s National Economic Council. 

By 2027, Indonesia’s nickel pig iron (NPI) and ferronickel production is projected to increase from 2.092 million tons in 2025 to 2.487 million tons. 

Meanwhile, nickel mixed hydroxide precipitate (MHP) output is expected to more than double from 445,000 tons to 917,000 tons during the same period. 

Additionally, Vale’s CEO stated that oversupply in Indonesia’s nickel market has led to price reductions, prompting the company to optimize assets to improve profitability.