Affected by the drought caused by the El Niño phenomenon, Indonesia's largest nickel industrial park, Indonesia's Morovali Industrial Park, may have drastically cut production due to limited water supply to the smelter. Dedy Kurniawan, head of media relations, said in a statement that if new water sources cannot be found, the park may be forced to cut production by 30% to 40%. The park management is trying to utilize new water sources in nearby areas while taking precautions to minimize the impact of water supply shortages on production. Indonesia's nickel production accounts for more than half of the world's total production, and a large portion of it is processed in two large industrial parks. This industrial park is one of them. Potential production cuts could help curb the fall in global nickel prices. Since the high in early May, nickel prices on the London Metal Exchange have fallen by about 17%.

Affected by the drought caused by the El Niño phenomenon, Indonesia's largest nickel industrial park, Indonesia's Morovali Industrial Park, may have drastically cut production due to limited water supply to the smelter. Dedy Kurniawan, head of media relations, said in a statement that if new water sources cannot be found, the park may be forced to cut production by 30% to 40%. The park management is trying to utilize new water sources in nearby areas while taking precautions to minimize the impact of water supply shortages on production. Indonesia's nickel production accounts for more than half of the world's total production, and a large portion of it is processed in two large industrial parks. This industrial park is one of them. Potential production cuts could help curb the fall in global nickel prices. Since the high in early May, nickel prices on the London Metal Exchange have fallen by about 17%.