Antara News·Indonesia·Monday, November 2, 2026 at 04:45 PM UTC

Indonesia urges nickel producers to curb output amid falling prices

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Putu Indah Savitri, Yashinta Difa

Jakarta (ANTARA) - Indonesia’s Energy and Mineral Resources (ESDM) Minister Bahlil Lahadalia called on nickel producers to curb production volumes to help stabilize international prices.

Speaking at the opening of the 2026 Mineral and Coal Convention and Exhibition in Jakarta on Monday, Bahlil pointed directly to Indonesian overproduction as a primary driver behind depressed global prices, which have dipped below the US$16,000 threshold to hover around US$15,000 per ton.

"I ask our colleagues in the (nickel) mining and industrial sector to exercise some restraint," Bahlil stated, highlighting a current global oversupply of approximately 800,000 tons.

To combat the surplus and realign international supply with demand, Bahlil has instructed the ministry's Director General of Mineral and Coal Tri Winarno to tightly regulate nickel output by controlling the approval of annual Work Plans and Budget Proposals (RKAB).

"Director General, I believe we should implement a strategy to manage supply and demand for nickel through the RKAB process—I will take full responsibility. Do not hesitate; this is for the good of the nation and the state," Bahlil asserted.

According to him, the measure aims to align global demand with Indonesian production.

Because nickel is a finite, non-renewable commodity, he argued that extraction rates must be managed with foresight rather than pursued at the expense of national wealth.

"Once nickel is extracted, it is gone—it cannot be replaced. Therefore, it must be managed with great wisdom,” Bahlil concluded.

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