MERCOSUR: Nickel Market 2024

Nickel Market Size in MERCOSUR

The MERCOSUR nickel market expanded slightly to $X in 2022, surging by 1.5% against the previous year. In general, consumption recorded a pronounced decline. Over the period under review, the market attained the peak level at $X in 2012; however, from 2013 to 2022, consumption remained at a lower figure.

Nickel Production in MERCOSUR

In value terms, nickel production reached $X in 2022 estimated in export price. Over the period under review, production showed a noticeable slump. The pace of growth appeared the most rapid in 2020 when the production volume increased by 22%. The level of production peaked at $X in 2012; however, from 2013 to 2022, production remained at a lower figure.

Nickel Exports

Exports in MERCOSUR

In 2022, overseas shipments of nickel (unwrought) increased by 37% to X tons, rising for the second consecutive year after two years of decline. Over the period under review, exports, however, saw a sharp reduction. The pace of growth was the most pronounced in 2018 when exports increased by 174%. The volume of export peaked at X tons in 2013; however, from 2014 to 2022, the exports failed to regain momentum.

In value terms, nickel exports skyrocketed to $X in 2022. Overall, exports, however, showed a sharp slump. The pace of growth was the most pronounced in 2021 with an increase of 198% against the previous year. Over the period under review, the exports reached the maximum at $X in 2013; however, from 2014 to 2022, the exports remained at a lower figure.

Exports by Country

Brazil dominates exports structure, finishing at X tons, which was near 92% of total exports in 2022. It was distantly followed by Colombia (X tons), making up a 7.3% share of total exports.

Exports from Brazil decreased at an average annual rate of -40.7% from 2012 to 2022. Colombia experienced a relatively flat trend pattern. While the share of Colombia (+7.3 p.p.) increased significantly in terms of the total exports from 2012-2022, the share of Brazil (-8.4 p.p.) displayed negative dynamics.

In value terms, Brazil ($X) remains the largest nickel supplier in MERCOSUR, comprising 85% of total exports. The second position in the ranking was taken by Colombia ($X), with a 13% share of total exports.

In Brazil, nickel exports plunged by an average annual rate of -40.3% over the period from 2012-2022.

Export Prices by Country

The export price in MERCOSUR stood at $X per ton in 2022, standing approx. at the previous year. Export price indicated a mild increase from 2012 to 2022: its price increased at an average annual rate of +1.4% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, nickel export price increased by +32.4% against 2020 indices. The most prominent rate of growth was recorded in 2017 an increase of 121% against the previous year. As a result, the export price reached the peak level of $X per ton. From 2018 to 2022, the export prices failed to regain momentum.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Colombia ($X per ton), while Brazil stood at $X per ton.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Colombia (+4.4%).

Nickel Imports

Imports in MERCOSUR

In 2022, the amount of nickel (unwrought) imported in MERCOSUR contracted to X tons, shrinking by -12.4% compared with the previous year's figure. Over the period under review, imports, however, showed strong growth. The pace of growth appeared the most rapid in 2016 when imports increased by 107% against the previous year. The volume of import peaked at X tons in 2021, and then dropped in the following year.

In value terms, nickel imports soared to $X in 2022. Overall, imports, however, posted a resilient increase. The growth pace was the most rapid in 2021 with an increase of 107% against the previous year. The level of import peaked in 2022 and is expected to retain growth in the near future.

Imports by Country

Brazil dominates imports structure, recording X tons, which was near 90% of total imports in 2022. It was distantly followed by Argentina (X tons), achieving a 5.5% share of total imports. The following importers - Chile (X tons) and Colombia (X tons) - each recorded a 3.1% share of total imports.

Brazil was also the fastest-growing in terms of the nickel (unwrought) imports, with a CAGR of +11.7% from 2012 to 2022. At the same time, Chile (+6.9%) displayed positive paces of growth. By contrast, Argentina (-5.8%) and Colombia (-11.3%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Brazil increased by +27 percentage points. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Brazil ($X) constitutes the largest market for imported nickel (unwrought) in MERCOSUR, comprising 89% of total imports. The second position in the ranking was taken by Argentina ($X), with a 6.7% share of total imports. It was followed by Chile, with a 1.6% share.

From 2012 to 2022, the average annual rate of growth in terms of value in Brazil amounted to +15.4%. In the other countries, the average annual rates were as follows: Argentina (-0.7% per year) and Chile (+10.2% per year).

Import Prices by Country

In 2022, the import price in MERCOSUR amounted to $X per ton, with an increase of 38% against the previous year. In general, the import price continues to indicate a temperate increase. As a result, import price reached the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Argentina ($X per ton), while Colombia ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Argentina (+5.4%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform