At the same time, global nickel production picked up dramatically. It is forecast as increasing by an astounding 6.1%, on course to hit 4.0 million tons (Mt) by 2025. This booming increase is largely thanks to Indonesia, which has reestablished itself as a powerhouse in the global nickel industry. The country’s 1Q23 throughput indicates excellent production run-rate across most major midstream pillars. This momentum has made it the main driver of the growing global nickel supply.
In 2025, Indonesia prevailed with amazing growth in its nickel production. This spike had been fueled by big top-tier mining projects like Weda Bay, Gag Island, Huafei, Pakal Island, Pomalaa, PT Halmahera Persada Lygend, and Tapunopaka. These plants have greatly increased their production, proving that Indonesia can keep up with the growing international demand for nickel.
Global nickel production is forecast to continue to increase in the short-term, with a 9.4% rise to 4.4 Mt in 2026. Analysts are forecasting that the majority of this growth will be funneled mostly into Indonesia. What we do know is that the country is increasing its production capacity big time and leading expansion. In addition to the Indonesian government’s unyielding support for the mining sector and significant investments in infrastructure that will further improve operational efficiencies.
There’s no other country whose nickel supply comes close to Indonesia’s share of the global supply. Other areas are poised to play a role in growth by 2026. Canada, the Philippines, New Caledonia and Brazil will have smaller roles in this expansion. For example, Brazil’s increasing nickel production contributed to the global growth in 2025, but only to a small extent. Similarly, Canada helped drive this production growth in 2025 while being small in comparison to Indonesia’s massive output.
Clearly, the demand for nickel is increasing, particularly for electric vehicle batteries and other renewable energy technologies. Consequently, scrutiny over how we mine, including the implementation of more sustainable practices, will continue to increase. Industry stakeholders are certainly watching developments in Indonesia closely. They’re keeping a close eye on global market trends that could impact future production.