Industry Overview - Indonesia's nickel industry is facing increasing pressure due to a mismatch between nickel ore supply and rapidly expanding smelting capacity, leading to potential production cuts at smelting plants [1] - The Indonesian Nickel Smelting Association's chairman highlighted that the demand for mining quotas is sharply rising, while the government has reduced the validity period of mining quotas from three years to one year, tightening domestic supply [1] - There is a growing gap between mining output and smelting demand, which could lead to structural raw material shortages if upstream planning is not strengthened [1] Company Insights - Liqin Resources (02245) has successfully transformed into a global nickel smelting leader, securing a 20-year agreement with partners for nickel ore supply at government-regulated minimum prices, benefiting from significant cost advantages due to short transportation distances [2] - Xinjiang Xinxin Mining (03833) owns four nickel-copper mines and two vanadium mines, indicating a diversified resource base [2] - Minmetals Resources (01208) is in the process of acquiring Anglo American's nickel business, with the EU extending the review period until June 30, 2026, for the acquisition of nickel operations in Brazil [2] - Zhongwei New Materials (02579) is a global leader in nickel and cobalt pCAM for lithium-ion batteries, holding significant stakes in three nickel laterite mines in Indonesia and various lithium and phosphate mines [3]