Jakarta, CNBC Indonesia \u2013 The Indonesian government is seeking to\nboost nickel prices on the global market by cutting this year\u2019s target\nfor nickel ore production. The government will reduce ore production for\nthe year to around 260 million tonnes, down about 31% from the 2025 Work\nPlan and Budget (RKAB) figure of 379 million tonnes.<\/p>\n
Director General of Minerals and Coal (Dirjen Minerba) Tri Winarno of\nthe Ministry of Energy and Mineral Resources (ESDM) said the policy is\nintended to tackle oversupply in the global market, which has been\nweighing on nickel prices. Tri explained that Indonesia accounts for 65%\nof global nickel production. He noted that the market condition was\nironical because the country is a dominant producer but has little\ncontrol over prices due to supply flooding to a surplus of around\n250,000 tonnes of nickel (Ni).<\/p>\n
\u201cNow, therefore, we try to control. This is our product, but we can\u2019t\ndo anything? Oh, it turns out there was an oversupply of around 250,000\ntonnes Ni. So we are trying to go in that direction,\u201d Tri said during an\ninterview at the Ministry of Energy and Mineral Resources\u2019 office,\nquoted on Wednesday (4 March 2026).<\/p>\n
So far, production controls are seen to be showing a positive trend\nin world nickel price movements. Tri noted that nickel prices, which had\nbeen stagnant, were beginning to rise after the government signalled to\ncurb exploitation. \u201cThis price has been at US$14-15 thousand for years.\nIt was announced by Mr Bahlil that prices rose. Nickel had actually\nrisen from about US$14,800, now around US$17 thousand or so. It even\ntouched around US$18 thousand at one point,\u201d he added.<\/p>\n
In addition, the policy is also based on considerations of the\nsustainability of Indonesia\u2019s national nickel reserves, which remain\naround 5 billion tonnes. The government does not want Indonesia to\ncontinuously deplete natural resources when prices are low, and instead\nrun out of stock when prices soar in the future, unlike other countries\nsuch as China which stores its stocks. \u201cChina does not mine nickel. And\nwhile later we will mine continuously, then when prices rise, there will\nbe nothing. What natural resources could we rely on for our revenue,\u201d he\nconcluded.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/slash-production-indonesias-way-to-boost-global-nickel-prices-1772629142", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }