China is the world’s largest electric vehicle market, and for years, it is the dominant producer of EV batteries. Recently, China’s Stainless Steel Producer, Tsingshan Holding Group, took the media an exciting piece of news demonstrating how the country continues […]
China is the world’s largest electric vehicle market, and for years, it is the dominant producer of EV batteries. Recently, China’s Stainless Steel Producer, Tsingshan Holding Group, took the media an exciting piece of news demonstrating how the country continues its dominance in the global battery supply chain. The company’s announcement claims that they will generate a new nickel matte flow starting from the Indonesian operation.
In the previous week, Tsingshan Group announced that the company would generate 100,000 tonnes of nickel matte. What is a nickel matte? It is a material generated from nickel pig iron and is often used by the countries’ two leading battery makers, Huayou and CNGR. The company will provide this amount within a year, and this detail settles well for manufacturers as the world races to dominate in the electric vehicles business. EV batteries and vehicles go hand in hand; when the demand for one product rises, the other increases. Therefore, with the rise of carmakers developing electric cars, powerful batteries must accommodate the cars.
After the announcement, Nickel prices immediately reversed, falling to 8.5%, which marks the most significant daily drop since 2016 December. This drop stopped the climbing prices that had made a legendary mark of six-year high the previous weeks. Recently, the battery market has been rough after US President Biden probe into the country’s diversification of semiconductors, vehicle batteries, pharmaceuticals, and rare earth.
Tsingshan’s partner in Indonesia, Nickel Mines, in a statement explained that succeeding in converting nickel pig iron to nickel matte will mean a milestone and is a battery-leading innovation. Its development team uses the RKEF (Rotary Kiln Electric Furnace) method. Justin Werner, Nickel Mines managing director, stated that the potential of RKEFs was something people have been speaking about for years, and it comes as no surprise that Tsingshan Group can achieve this goal.
Reports from the Tsingshan Group claim that the company is resourceful enough to regularly produce and supply high-quality nickel matte. The nickel matte is a necessity when it comes to manufacturing lithium-ion batteries useful in electric vehicles. Since the start of this year, the electric vehicle industry has been over the top with maximum potential and investors’ best place to put their company.
There has been a strong demand for nickel and all metals used in making electric vehicle batteries with these facts. The Tsingshan new technology is offering battery makers more raw materials when it comes to batteries’ construction. Nickel matte material is an excellent option for battery makers and will come in handy when the demand for EV batteries keeps rising with the many electric vehicles available.