Four favorable factors to support the investment value of nickel industry investment value highlight

Asia's largest nickel production company in Jinchuan, Gansu Group Chairman Yang Zhiqiang believes that the price of nickel has been formed at the bottom of the long-term, highlighting the value of investment.
Yang Zhiqiang analysis believes that the reason why the price of nickel has a long-term investment value, the first is the basic level has been improved. Nickel prices have continued to fall for 9 years, the long-term decline in the results, is the end of the supply side of the reduction and consumption increases. Since last year, about 65% of global nickel producer cost price higher than $10000, most of the losses of the enterprise, global high cost mines, smelters shut in succession, domestic electric nickel producer in Jinchuan and Xinjiang nonferrous outside, almost fully shut down, global supply side growth stagnation; demand side to see, this year on half of the nickel consumption growth than expected, mainly Chinese stainless steel industry nickel consumption of warmer, new energy vehicles fulminant growth of nickel demand will continue to increase, the future of global nickel supply will appear shortage lasts.
Two is the nickel industry structure to achieve a major adjustment. Since 2005, China's high-speed development of nickel pig iron industry, 2013 production reached a peak of 480 thousand tons (metal), followed by the impact of the Indonesian ban mines and China's elimination of excess capacity, production significantly reduced. Last year, the domestic nickel pig iron production decline, this year is expected to yield about 550 thousand tons of native nickel in China, compared to 2014 fell by 22.5%. These changes and developments suggest that future supplies tight and the change of consumption structure will further enhance the investment value of the nickel market.
Three is from the pattern of changes in the field of consumption, the nickel market has a long-term investment potential. Nickel is the largest consumer of stainless steel, but in the field of non steel, is a new change. The development of new energy vehicles by leaps and bounds, the rapid growth of the demand for battery materials, battery nickel will be more than other non steel fields, becoming the second largest field of nickel consumption. In addition, the demand for nickel with aerospace industry, marine industry and nuclear power development, high temperature alloy, steel and other fields is also quite a lot of space to imagine.
Four is to look at the current nickel prices have investment prospects. And other varieties such as the United States, light crude oil, rebar, gold and other products compared to the good or good, nickel prices rose only about 30%, still undervalued, nickel prices are still at a historic low, the investment potential is still large.