Nickel Price Plunges 1.38% to US$ 21,405 per Ton

Nickel trading on the London Metal Exchange (LME) fell 1.38% over the past three days, reaching US$21,405 per ton. On Monday, July 11, 2022, the nickel price was still at US$21,700 per ton. However, transactions on Wednesday, July 13, 2022, saw the nickel price for the next 3-month contract traded at US$21,405 per ton.

This price represents a US$295 difference compared to the previous day's closing price. The nickel price decline is due to increased supply and concerns about Russian supply. As is known, Russia supplies about 10% of the world's nickel needs. Furthermore, the Russian invasion of Ukraine has triggered a decline in global nickel prices.

Nickel is a key component in stainless steel production and a primary material in electric vehicle batteries. Meanwhile, the Indonesian benchmark nickel price currently stands at US$27,414 per ton. Indonesia is the country with the world's largest nickel ore reserves.

The nickel price at the end of last year was still at US$20,190 per ton, but as of Wednesday, July 13, 2022, it has surged 5.68% year-to-date (YTD).