Nickel Price Rises 0.86% to US$29,100 per Ton

Nickel trading on the London Metal Exchange (LME) rose 0.86% over the past two days, exceeding US$29,100 per ton. On Thursday, December 15, 2022, the nickel price was still at US$28,850 per ton. However, transactions on Friday, December 16, 2022, saw the nickel price for the next 3-month contract traded at US$29,100 per ton.

This price represents a US$250 difference compared to the previous day's closing price. The nickel price increase is due to concerns over supply and dwindling inventories, particularly regarding Russian supply. Russia supplies approximately 10% of the world's nickel needs. Furthermore, the Russian invasion of Ukraine has fueled the rise in global nickel prices.

Nickel is a key component in stainless steel production and a crucial material in electric vehicle batteries. Meanwhile, Indonesia's benchmark nickel price currently stands at US$23,907 per ton. Indonesia holds 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 by Friday, December 16, 2022, it had increased by 30.62% year-to-date (YTD).