[Ferro-Alloys.com] In the morning of May 29, 2015 , Li Qiang, the General Manager of Al Tianjin International Trade Co., LTD., made an excellent speech about Chinese Ferro-Nickel market movements on the second half of 2015 during the 12th China Ferro-Alloys International Conference, which held in the Qingdao Shangri-la Hotel.

From the perspective of policy macro-economy, Li carried on the detailed analysis and briefly summed up as "investment". For downstream stainless steel market, Li briefly summarized four ideas: the price-oriented demand growth, the wealth-oriented quality improvement, the competition-oriented production growth, the value-oriented quality competition.

However, FeNi market was in a state of imbalance between supply and demand mainly affected by several factors as follows:
1)Decreasing nickel ore resources. Li said that Indonesian was unlikely to resume the exportation of nickel ores and Philippine nickel resource reached its mining limitation.
2)The pressure from environmental protection. Li recovered that, before the APEC, many FeNi factories shut down because of environmental clearance. In recent period, when the policy makers have gone on to burden the dilemma, all factories in Linyi stopped production and it’s not easy to renew the production license in Inner Mongolia.
3)Sluggish economy in Indonesia. Li said that investors faced with difficulties when made their business in Indonesia. Macquarie predicted that only when the price was far higher than USD20,000/mt did under-construction capacity investment make sense. 
4)Limited exportation. Li expressed that Japanese FeNi importation relies on Indonesia and Philippine.
 

At last, Li believed that the competition between speculators attracted by low price would greatly drive the nickel market forward.

• [Editor:wangm]