2025 H1 Global Market Briefing and H2 Outlook for Corrosion – Resistant Nickel Alloys (Primarily Nickel – Based Corrosion – Resistant Alloys Such as Inconel, Hastelloy, and Monel)

H1 2025 Review

1. Base Nickel Price: Weak and Sideways, in a Low – Price Range​​The price of nickel on the London Metal Exchange (LME) hit a five – year low of approximately $13,865pertoninAprilandthenfluctuatedaround$15,000 per ton for most of the time. This reflects the impact of the global oversupply of nickel and the expansion of nickel production in Indonesia. A July review by Reuters also pointed out that the nickel price in the first half of the year was “generally flat”. Both official price lists and news reports show that the nickel price remained in a low – level volatile state in the first half of the year.Sources: Reuters, LME
2. Supply – Demand Pattern: The Global Nickel Market Still Has an Oversupply​​The International Nickel Study Group (INSG) predicted in April that the global nickel market would have an oversupply of approximately 198,000 tons in 2025 (with a production volume of 3.735 million tons and a consumption volume of 3.537 million tons). The oversupply has continuously put pressure on the raw material side, but it has relatively little impact on high – value – added corrosion – resistant nickel alloys.Sources: International Nickel Study Group, MINING.COM
3. Downstream Demand Structure: Supported by the Energy and Process Industries​​​LNG and Oil & Gas Investments​​: Multiple LNG projects in the United States are progressing continuously. For example, Venture Global has made a decision on the CP2 LNG project, and NextDecade has made progress in financing the fourth phase of the Rio Grande LNG project. This has driven the demand for corrosion – resistant alloy pipes, heat exchangers, valves, and welding materials.Source: Reuter

   ​​Chemical Industry​​: In 2025, the global leading chemical enterprises have increased their capital expenditures and R & D expenditures year – on – year, releasing a signal of moderate recovery. However, there are differences in development among regions, and trade uncertainties still exist.

   Sources: Chemical & Engineering News, McKinsey & Company, Oliver Wyma

   ​​Seawater Desalination/Water Treatment​​: It is estimated that the global seawater desalination market will grow at an annual compound growth rate (CAGR) of about 9% from 2025 to 2032. The proportion of reverse osmosis (RO) systems is relatively high, which will promote the application of corrosion – resistant alloys such as Alloy 625/825 and C – 276 in high – chloride environments.

   Sources: coherentmarketinsights.com, Fortune Business Insights

4. Industry and Competitive Landscape​​The leading alloy company, Haynes International, completed the merger and integration with Acerinox/NAS in November 2024. The group announced new investments in the United States, which helps to improve the supply capacity and enrich the product portfolio (including a large number of Hastelloy/C – series products, corrosion – resistant pipes, and welding materials).Source: Haynes International
5. Price/Delivery and Procurement Experience (H1)​​Against the background of the weak price of base nickel, the terminal price of corrosion – resistant nickel alloys remained generally stable, but there was certain structural differentiation. The competition for standard – specification products is more intense, while the prices of engineering – grade customized products and high – nickel – molybdenum grades (such as C – 22/C – 276 and 625) remain relatively stable due to project demand and welding material matching. Data from the LME and comments from Reuters show that the low – price range of nickel provides support for buyers in price negotiations from the raw material side.Sources: LME, Reuters

H2 2025 Outlook

1. Raw Material Side: Oversupply Converges but Remains Relatively Loose​​Nornickel’s latest assessment has revised the 2025 nickel oversupply volume down from the previous prediction to 120,000 tons. If the progress of Indonesian nickel projects slows down or high – cost production capacity is eliminated, the nickel price is expected to fluctuate within the range of $15,000 – 17,000 per ton in the second half of the year and tend to be stable.Sources: MINING.COM, Reuters
2. ​​Demand Side: Supported by Three Major Sectors​​•​​LNG/Oil & Gas Project Commissioning and Expansion​​: The final investment and expansion of LNG and oil & gas projects will continue to release orders, increasing the demand for low – temperature equipment, pipe valves for acidic gas environments, and waste heat/heat – exchange systems. The consumption of corrosion – resistant alloys is expected to improve quarter – on – quarter.Source: Reuter

   ​​Seawater Desalination and Water Treatment Projects​​: The continuous progress of seawater desalination and water treatment projects in the Middle East, Southern Europe, and North Africa will drive the demand for welding materials and pipe fittings of corrosion – resistant alloys such as Alloy 625/825, C – 276, and C – 22.

   Sources: coherentmarketinsights.com, Fortune Business Insights

   ​​Chemical/Fine Chemical and Special Chemical Industries​​: The capital expenditures of the chemical/fine chemical and special chemical industries show a trend of cautious recovery. Upgrade and maintenance projects will steadily drive the demand for corrosion – resistant alloys (such as reactors, tower internals, and evaporation/crystallization equipment).

   Sources: Chemical & Engineering News, McKinsey & Company

3. ​Price and Delivery​​Under the dual influence of low raw material prices and the release of engineering orders, the prices of mainstream corrosion – resistant nickel alloy grades are likely to “rise slightly and remain stable overall”. Project – specific specification products and welding material – matched products have greater price elasticity. If the issues of steel and aluminum tariffs and logistics disruptions intensify, the price differences and delivery cycles between different regions may widen again.Source: Reuters
4. ​​Regional Observations​​​Middle East​​: The desalination/water treatment and oil & gas industries are developing in parallel, and there is a strong demand for corrosion – resistant alloys and alloy welding materials in specifications such as 625/825, C – 276, and C – 22.Source: coherentmarketinsights.co

   ​​North America​​: The continuous development of the US LNG infrastructure chain will drive the upgrade of corrosion – resistant pipe valve and heat exchanger materials.

   Source: Reuters

   ​​Europe​​: Although energy prices have fallen, investment is more cautious. The technical renovation of chemical plants and material upgrades are the main demand – driving factors.

   Source: McKinsey & Compan

   ​​China/Southeast Asia​​: Structural projects in the chemical and fine chemical industries are being promoted. Although the supply of nickel from Indonesia is sufficient, its direct substitution for high – end corrosion – resistant alloys is limited.

   Source: International Nickel Study Group

5. ​​Key Points of Supply and Competitive Landscape​​​Alloy Suppliers (Examples)​​: Haynes/HASTELLOY series, VDM (625/718/825, etc.), ATI/specialty metals, etc. maintain a certain market share globally. After Haynes was merged into Acerinox/NAS, its production capacity and service coverage in North America are expected to be enhanced.Sources: Haynes International, vdm – metals.com

   ​​Category Structure​​: The coordinated delivery of plate/band/heavy plate, seamless and welded pipes, flanges and accessories, and welding materials (such as GTAW/MIG/electrodes/thermal spraying) has become more important. Engineering contractors prefer to obtain a complete supply solution of “grade + welding materials + processing”.