Norilsk sees global nickel demand rising 3% to 2.5 mln tns in 2020

MOSCOW, Feb 26 (PRIME) -- Russian metals giant Norilsk Nickel expects nickel demand to rise 3% to 2.538 million tonnes in 2020, the company said in a statement on Wednesday.

“Primary nickel consumption is to increase by 85,000 tonnes (+3%) to 2.538 million tonnes in 2020. Primary nickel demand in Chinese stainless steel production is to amount to a moderate 2% growth as the gross domestic product (GDP) growth is forecasted to slow down,” Norilsk Nickel said.

The copper market is to remain balanced in 2020, an outbreak of coronavirus has already hurt demand and recovery of the global economy from the fallout of the coronavirus will be crucial for production and demand for copper.

The company expects a 0.9 million ounce deficit on the palladium market in 2020.

“Palladium outlook – positive; market deficit to reach 0.5 million ounces in 2020 driven by a continuing increase in loadings in autocatalysts on the back of further rollout of China-6 standard and introduction of RDE (real driving emissions) tests in Europe; substitution with platinum is to be limited as an effective technical solution is not available; physical shortage of rhodium may lead to extra demand for palladium,” Norilsk Nickel said.

Norilsk Nickel gave a neutral outlook for the platinum market because of a weak demand from car producers. Platinum consumption is to be flat on the year at 7.8 million ounces.

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