GEM(SZ:002340) 智通财经网·2025-11-24 09:21Group 1 - A major nickel smelter in Indonesia, controlled by Chinese investors, is reducing production due to its tailings storage nearing capacity, highlighting the industry's waste management challenges [1] - The production cut by PT QMB New Energy Materials Co. Ltd. is expected to last at least two weeks, with the company being backed by investors such as GEM Co. and Tsingshan Holding Group [1] - The Morowali Industrial Park, where the smelter is located, is Indonesia's largest nickel industrial base, and the facility's tailings storage is close to saturation while new storage approvals are still pending [1] Group 2 - Regulatory scrutiny of the nickel industry in Indonesia is increasing, driven by environmental concerns related to waste management [2] - Experts question the long-term safety and sustainability of the high-pressure acid leaching (HPAL) process in Indonesia, especially after a fatal landslide incident earlier this year [2] Group 3 - High-pressure acid leaching producers are facing rising sulfur procurement costs, which is essential for sulfuric acid production [3] - Despite cost pressures, demand for nickel-cobalt hydroxide products has strengthened this year, largely due to cobalt export controls in the Democratic Republic of Congo [3] Group 4 - Nickel has underperformed in a year where base metals are generally weak, with oversupply putting continuous pressure on prices and squeezing industry profitability [4] - A report from Deutsche Bank indicates that the market is experiencing oversupply due to a surge in production, particularly from Indonesia, with global primary nickel production expected to grow by 8% this year [4] - There is potential for a significant price rebound if Indonesia implements effective production controls, as stricter regulations could lead to rapid price increases similar to recent trends in other base metals [4]