Due to the increased probability of the Russian attack on Ukraine and the worries of a supply shortage, LME nickel prices hit new highs and rose again to US$24,000/ton last Friday (February 18).

Last Friday, LME nickel hiked to US$24,500/ton, and nickel futures rose to US$24,100/ton, which was the highest since July 29, 2011.

In addition, Indonesia Tsingshan’s export offer in February was also US$170/ton higher than that in January. The market is concerned that Taiwan's upstream mills will raise their prices for March as the prices of scrap materials, alloy materials, and major imported materials are surging.

The downstream industry warned that although the cost of raw materials has risen, it is also true that demand has stagnated. If upstream steel mills ignore the low demand and raise prices, the downstream industry might buy less. The anxiety also came from the unstable trend of China’s stainless steel market.