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| Lujia Nickel |
Lujia Nickel LME listing moves a step closer after the producer filed its application. The Taizhou plant makes 6,000 t/yr of nickel cathode. As a result, the Lujia Nickel LME listing could deepen liquidity and tighten spreads. Meanwhile, rising Chinese stocks reshape benchmark pricing. Therefore, the Lujia Nickel LME listing matters for traders, hedgers, and battery supply chains.
More Chinese brands are reshaping LME nickel
Chinese brands now dominate new LME registrations. If approved, Lujia would be the seventh since 2023. Consequently, cumulative new Chinese capacity on the LME would reach 132,600 t/yr. This trend supports tighter bid-ask spreads and improved deliverability. It also expands optionality for off-take and financing structures.
Stocks surge while fast-track window closes
LME nickel stocks climbed to 198,948t in July from 35,694t last year. Delivery into warehouses has absorbed surplus Chinese metal. However, the LME fast-track approval system expires at year-end. Lujia’s timing could be pivotal for listing speed. Greater on-warrant supply can pressure nearby spreads and rental costs.
The Metalnomist Commentary
China’s brand proliferation is resetting the nickel trade’s logistics map. Expect continued convergence between physical premia and LME values. Watch how new listings influence Class 1 availability for battery and alloy buyers.
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