MANILA - Fitch Solutions said Monday nickel prices could rise as economies recover, especially China which is the largest nickel ore consumer in the world.
Nickel prices could likely reach $13,500 per tonne this year from an earlier estimate of $13,250, Fitch Solutions senior commodities analyst Sabrin Chowdhury.
Estimates for next year is at $15,000 per tonne.
China consumes at least 40 percent of the global nickel orders so "China is definitely enough to offset weakness in other countries," Chowdhury said.
"The worse is behind us in terms of the global economic recovery...There will also be growth in other markets such as the US. So in 2021, we expect to see the auto sector, the home appliance sector, the construction sector, globally to grow much higher compared to this year," she added.
The Philippines is the largest supplier of nickel ore, the raw material for stainless steel to China.