Returning from the Qingming Festival holiday this week (4.1-4.7), nickel prices have dropped significantly due to the impact of tariff policies.
| Gamma-PGA (gamma polyglutamic acid) |
According to the monitoring of the commodity market analysis system of Shengyi Society, as of April 7th, spot electrolytic nickel was reported at 122683 yuan/ton, with a weekly decline of 5.83%.
Macro storm: China US tariff game ignites market panic
On April 2, 2025, the US government announced the imposition of “equivalent tariffs” on Chinese goods exported to the United States. China quickly responded by imposing a 34% tariff on all imported goods originating from the United States starting from 12:01 pm on April 10, 2025. The tariff game between China and the United States has triggered a deep panic in the market demand for bulk commodities, leading to a sharp decline in the non-ferrous metal market.
Electrolytic nickel inventory surges: high inventory suppresses prices
On April 7th, the inventory of Shanghai nickel warehouse receipts was 27166 tons, an increase of 420 tons during the week; On April 7th, LME nickel inventory was 202308 tons, an increase of 2004 tons for the week.
Waiting for significant improvement on the demand side
Stainless steel plants, which account for 70% of nickel consumption, are expected to produce 3.4845 million tons of crude steel from 43 domestic stainless steel plants in April, an increase of 0.45% month on month and 8.18% year-on-year. Some steel mills have reported production cuts, but production remains high and supply pressure continues. On April 7th, the benchmark price of stainless steel in Shengyi Society was 13805.00 yuan/ton, an increase of 0.18% compared to the beginning of this month (13780.00 yuan/ton).
Market forecast: Customs policy panic, coupled with high inventory pressure, is expected to lead to a decline in nickel prices. Attention should be paid to nickel mining policies and downstream demand.
| http://www.lubonchem.com/ |