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Fighting with a surplus of the metal in the style of

Excess metal products, in particular, made of nickel, lead to a steady decrease in prices for this type of products on the market today. Therefore, not only small companies but even the recognized leaders in the field of industrial complex suffer significant financial losses.

One of the biggest concerns of Norilsk, «Norilsk Nickel», which for many years been a leader in this area has not stood aside and offered his solution to the overall problem. Management called on the international community to actively reduce unprofitable production process stages and thus affect the stability of the pricing policy in the industry. Active financial losses in the current year has been steadily growing with each new quarter. The trend of decline in production promises to reduce nickel surplus of at least thirty percent of that in quantitative terms be about seventy thousand tons next year. In 2013, the surplus of the metal is estimated at one hundred thousand tons. Home prices fall in nickel alloys and materials containing this important process material became apparent in May. Since then, the pricing policy in the direction of reducing cost me a few more times.

The basis of the problem has become not only a surplus of nickel raw materials. His contribution to the unstable position of the metal market has made China, which filled the world space as a substitute for the low high-grade material. Using low-quality ores in nickel production allows Chinese manufacturers to reduce the cost of the final product and thus influence the price category of such semi-finished products. With such alarming situation today, more than thirty percent of the companies producing nickel products remain unprofitable, due to the large gap between the demand for this type of material and suggestions for its supplies.

According to the London Stock Exchange price for a ton of nickel today fell by nineteen percent compared with the same period last year. The level of fall in the value of raw materials is one of the highest among all the metal products. production reduction policy can provide tangible results only in conjunction with a constant quality control of manufactured products at this redistribution of the industry. Otherwise, both domestic and European producers of nickel products will continue to suffer considerable financial losses.

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