Critical Minerals and Energy Intelligence

Nickel (Ni)

Nickel, atomic number 28, is a lustrous, silvery-white metal celebrated for its strength, ductility, and outstanding resistance to corrosion and heat. With a melting point of 1,455°C, nickel is a cornerstone of modern industry, playing a pivotal role in stainless steel production, battery technology, and advanced alloys.

As the global economy pivots toward electrification and sustainability, nickel’s importance continues to rise-especially in electric vehicles (EVs), renewable energy systems, and next-generation manufacturing.

Why nickel matters: strategic applications

Electrification and clean energy

Nickel is indispensable in the clean energy transition due to its unique properties:

• electric vehicles (EVs): nickel is a critical component in lithium-ion battery cathodes, particularly in high-nickel chemistries that boost energy density and extend driving range. The growth of EVs is a primary driver of new nickel demand

• renewable energy infrastructure: nickel alloys are used in wind turbines, solar panels, and grid-scale batteries, supporting the expansion of green energy worldwide

• hydrogen economy: researchers are exploring nickel’s role in hydrogen fuel cells and electrolyzers, further cementing its place in the low-carbon future

Stainless steel and advanced alloys

• stainless steel: roughly 70% of global nickel consumption goes into stainless steel, where it imparts corrosion resistance, strength, and durability for use in construction, transportation, and consumer goods

• aerospace and high-performance applications: nickel-based superalloys are essential for jet engines, gas turbines, and other demanding environments due to their ability to withstand extreme temperatures and corrosive conditions

Industrial, medical, and specialty uses

• medical devices: nickel’s biocompatibility makes it suitable for surgical instruments, implants, and dental applications

• industrial equipment: nickel alloys are used in food processing, chemical plants, and marine engineering for their resistance to acids, alkalis, and saltwater

Supply and demand dynamics

Demand drivers

• EV and battery growth: the rapid adoption of electric vehicles and grid storage is fueling robust demand for high-purity nickel

• urbanization and infrastructure: stainless steel demand remains strong as emerging markets invest in construction and transportation

• technological innovation: new uses for nickel in hydrogen, renewables, and advanced manufacturing are expanding the market

Supply challenges

• market surplus: the global nickel market is forecast to be in a significant surplus in 2025, with production expected to reach 3.735 million metric tons, outpacing usage by nearly 200,000 metric tons

• price volatility: nickel prices have hit five-year lows in early 2025 amid oversupply, regulatory uncertainty, and shifting trade policies. Indonesia, the world’s largest producer, has introduced royalty hikes and faces delays in mining permits, creating ore tightness despite high refined output

• resource concentration: Indonesia accounts for over half of global nickel production, making the market vulnerable to policy shifts and supply disruptions. The Philippines is considering export bans that could further impact global supply chains

Major producers

• Vale S.A. (Brazil/Canada): one of the world’s largest nickel miners, with operations in the Americas and Asia

• BHP Group (Australia): a leading producer focused on sustainable mining and supplying the battery sector

• Anglo American (Brazil/Australia/South Africa): a major player investing in low-carbon nickel sulfate for EV batteries

Market trends shaping nickel’s future

• clean energy transition: despite the current surplus, long-term demand for battery-grade nickel is expected to surge as EV adoption and renewable energy accelerate

• sustainability and recycling: the industry is investing in recycling technologies and sustainable mining to reduce environmental impacts and secure supply

• geopolitical dynamics: trade policies, resource nationalism, and regulatory changes in top producing countries are reshaping the nickel market and supply chains

Nickel’s unique combination of strength, conductivity, and corrosion resistance makes it essential for electrification, stainless steel, and advanced manufacturing. As the world transitions toward cleaner energy and smarter technologies, nickel’s strategic value will remain robust-cementing its role as a foundation of the modern industrial economy.