According to Norilsk Nickel (Nornickel), the oversupply of nickel was expected to expand to 95,000 tons in 2021 from 87,000 tons in 2020 as Indonesia’s nickel pig iron (NPI) output surpassed the demand.

Indonesian nickel producers raised their NPI supply by 370,000 tons in 2021, and the supply from other regions also increased, which boosted the total nickel production to reach 2.7 million tons by 2021. However, the demand for nickel used in stainless steel and battery will only increase to 2.65 million tons.