Ferronickel Market Report

The global ferronickel market is expected to expand on the back of increasing focus on the development of new ferronickel projects. In October 2019, Horizonte Minerals, a UK-based nickel investment company, appointed project director to direct the construction of its Araguaia ferronickel project. According to the company, the project is being developed as the next major ferronickel mine in Brazil. High demand for ferronickel in the manufacture of stainless steel is anticipated to significantly benefit the global ferronickel market.

Important Points to Remember

●  Strong demand for ferronickel in the foundry industry to help create lucrative market growth opportunities for players

●  Players to merge with and acquire companies in the ferronickel or related businesses to strengthen their business growth

●  Stainless steel and electronics industries to create high requirement for ferronickel in future

●  Europe, China, and the US to become leading consumers of ferronickel in the coming years

Increasing Use of Stainless Steel to Continue to Create Strong Demand for Ferronickel

Ferronickel is widely used as a raw material in the stainless steel industry. It also finds application as a raw material for special steels and heat-resistant castings. The foundry industry is expected to increase the demand for ferronickel in the coming years. Ferronickel is used in the manufacture of gas turbines, electronics, and batteries. Thus, the requirement for ferronickel is anticipated to increase with growing demand for these products. The important role of ferronickel in the manufacture of products with battery-related, catalytic, controlled expansion, electronic, and magnetic properties could strongly support the growth of the global ferronickel market.

Players to Look to Sign Merger and Acquisition Deals to Increase Production

Some of the prominent players of the global ferronickel market are Shandong Xinhai Technology, Larco, Koniambo Nickel, Tsingshan Holding Group, PT Antam, Eramet, Pacific Steel Mfg., Linyi Yichen Alloy, Vale, South32, Jiangsu Delong Nickel Industry, SNNC, Shengyang Group, PT Central Omega Resources, Anglo American, and Sumitomo Metal Mining. Merger and acquisition is one of the strategies that players could adopt to improve their production and operation. In August 2019, Vale, a global mining company based in Brazil, completed the acquisition of Ferrous Resources Limited. Iron ore mines that Ferrous owns and operates are in close proximity to Vale’s Brazil operations in Minas Gerais.

By Product Type

●  Ferronickel (Nickel <15%)

●  Ferronickel (Nickel 15-25%)

●  Ferronickel (Nickel 25-35%)

●  Others

By Application

●  Stainless Steel Industry

●  Electronics Industry

●  Others

There are different types of products offered in the global ferronickel market depending on the percentage of nickel present in them. The amount of nickel present in ferronickel products could vary from 25-35%, 15-25%, and <15%. Austenitic stainless steel is a popular application of ferronickel. It is a very commonly used type of stainless steel and contains 8.5-25% nickel. Ferronickel is also used in the production of nickel alloy steel.

Both developed and emerging countries widely use ferronickel in a number of applications such as tubular products, metal goods, building and construction, electrical and electronic, and engineering. According to market analysts, electronics and stainless steel are highly important application segments of the global ferronickel market.

By Region

Europe, China, and the US could be among key ferronickel markets in terms of consumption. Their strong economic development and use of latest and sophisticated production technologies are expected to increase the consumption of ferronickel in these markets. Asia Pacific is likely to gain a remarkable share of the global ferronickel market due to strong demand for stainless steel and presence of countries such as China that heavily invest in ferronickel projects.

The Philippines, Malaysia, and Indonesia could be leading suppliers of raw materials such as nickel ore required to produce ferronickel. Although sources say that one of these countries have relaxed restrictions on nickel ore exports, production cost and prices could increase in the global ferronickel market because of fluctuations in the prices of upstream products.

The chemicals and materials sector has been witnessing an exponential rise in the past few years. The industrial boom and infrastructural growth across the globe has had a positive impact on the chemical and materials industry. Chemicals are an integral part of many industries, which, over the years, have created lucrative opportunities for players. Similarly, materials are an indispensable part of myriad industries. The rise of the chemicals and materials sector has been mapped by QYR Consulting through exhaustive research reports.

Analysts have used investigative approach to deduce important elements pertinent to the industry. The reports are aimed towards giving the reader a holistic approach about the industry’s development and future scenario. Competitive landscapes have been written with in-depth analysis of the historical data and careful understanding of the management styles. QYR Consulting aims to provide the readers a guided approach towards making well-informed business decisions through its research reports.