DISCOVER FT MERCATI - TRY FOR FREE

Commodities News

Up-to-date news on raw materials

FT Mercati provides subscribers with a dedicated commodities news bulletin to stay up-to-date.
Here is a selection of the latest news:

12/3/2025

EU - ECOPRO TO START PRODUCING IN HUNGARY NEXT YEAR

South Korean battery materials producer EcoPro BM plans to start production of high-nickel ternary cathode active material (CAM) at its new 54,000 tonnes per year facility at Debrecan in Hungary in 2026, the company announced.
EcoPro has now completed construction of the CAM manufacturing plant, which started in March 2023.
The 54,000 tpy capacity plant will produce enough nickel-cobalt-manganese (NCM) and nickel-cobalt-aluminium (NCA) CAM to supply about 600,000 electric vehicles (EVs), EcoPro said.
The announced production capacity is 50% down from initial estimates, but Eco Pro said that “through future expansions, the total production capacity of the Hungarian cathode material plant is expected to reach 108,000 tonnes per year.”
CAM produced at the Hungarian plant is expected to be “significantly price competitive,” the company said, because it will use inexpensive nickel sourced from an Indonesian smelter that EcoPro has invested in.

EcoPro is also planning to expand its CAM portfolio to include mid-nickel and lower-priced products, such as lithium iron phosphate (LFP) CAM, in response to changing customer demand.
The Hungarian plant also includes an 8,000 tonnes per year lithium hydroxide production facility, which is a part of CAM-focused subsidiary EcoPro Innovation.
With the European Union mandating the establishment of a European supply chain for key raw materials, including batteries, EcoPro said it expects to secure new customers across the region – from cell manufacturers to automotive original equipment manufacturers (OEMs) – by becoming the first Korean CAM producer to complete a local European plant.
The build out of a local European battery supply chain is focused on Hungary, where Chinese giant CATL is also building a battery gigafactory that is scheduled to start production in 2026.

12/3/2025

LME - COPPER PAUSES AFTER RECORD HIGH, US MANUFACTURING CONTRACTION CLOUDS OUTLOOK

The LME copper price dipped slightly at midday on Tuesday December 1, after a ninth consecutive month of contraction in US manufacturing indicated demand headwinds despite dovish signals from the US Federal Reserve.
Sentiment remains constructively bullish despite macro headwinds.
Leading up to the December 9-10, rate-setting Federal Open Market Committee meeting, there was no reason for market participants to turn too bearish on risk asset, with the 87% probability of another quarterly basis points cut, bringing the US Fed fund rate down to 350-375 basis points, in contrast to this year's high of 425-450 basis points
Neil Welsh, head of metals at Britannia Global Markets, said: “The base metals are trading with little direction. Tight supply, mine production cuts and growing global energy transition demand are the key factors driving copper prices higher. Additionally, the recent weakening of the US dollar provided additional support for copper prices.”

Copper retreated marginally on Tuesday from Monday's record high of $11,294.50 per tonne, after early morning trading saw the red metal at $11,242 per tonne before sliding back to to $11,228.50 per tonne by midday.
Warren Patterson, head of commodities strategy at ING Global Markets Research, said copper bullishness had been fuelled by persistent market dynamics.
And Marex analyst Edward Meir said structural pressures had arisen due to Chinese smelter commitments.
“Copper continues to push to new highs on the news that China's top copper smelters will cut production by more than 10% in 2026 to counter overcapacity in the industry. Having said that, we have seen such announcements before. But through it all, China's copper output continues to climb, Meir said.

12/3/2025

BASKET OPEC PRELIMINARY PRICE

OPECNA, the news agency of OPEC, announced the OPEC Basket preliminary price
02 december = $ 63.44 /b (down from previous daily value)
(The OPEC Reference Basket (ORB) introduced on 16 June 2005, is currently made up of the following: Algeria, Angola, Congo, Ecuador, Equatorial Guinea, Gabon, Iran, Iraq, Kuwait, Libya, Nigeria, Saudi Arabia , UAE and Venezuela.

12/3/2025

EU - A STRATEGIC COMMODITY

Scrap metal is of strategic value to European policy makers because it lies at the heart of EU industrial policy, at the point where circularity, decarbonisation and strategic autonomy converge.
Europe wants to meet 25 per cent of critical minerals needs through recycling by 2030.
For Aluminium, this goal is already a reality: the metal is infinitely recyclable and remelting it requires only 5% of the energy needed to produce primary metal, with a much lower carbon footprint.
The importance of scrap as a raw material for European producers has grown steadily in recent years, while many primary Aluminium smelters on the continent have been hit by high energy prices. Europe's annual production of primary Aluminium has dropped by a quarter since 2011.
Now there are fears that European recycling capacity is also at risk: European Aluminium estimates that around 15 per cent of EU recycling furnaces are idle due to a lack of material.
Aluminium scrap is exempt from US import duties on primary metal and semi-finished products, doubled to 50% by President Donald Trump in June. But this arbitrage window is accelerating the flight of European scrap, the association warns.
US data through July show an increase in shipments from Germany and Spain, albeit from a low level. The largest suppliers to the US remain Mexico and Canada, with a share of 53% and 32% respectively.
The general trend, however, is undeniable: the consultancy firm Project Blue calculates that European scrap exports to non-EU countries grew at an average annual rate of 8.9 per cent between 2018 and 2024.

12/3/2025

SUMMARY OF MAIN FERRO-CHROME INDEX OF 02 december 2025

SUMMARY OF MAIN FERRO-CHROME INDEX OF 02 december 2025
1. Ferro-chrome lumpy Cr benchmark indicator, charge basis 52% (and high carbon), Europe, = 1.45 $/LB (declining)
2. Ferro-chrome 50% Cr, delivered Europe, = 1.22 – 1.33 $/LB (declining);
3. Ferro-chrome High-Carbon 6-8.5%, basis 65-70% Cr, max 1.5% Si, Europe = 1.30 – 1.72 $/LB (increasing)
4. Ferro-chrome 50% Cr import, cif main Chinese ports, = 0.98 $/LB (declining).
(Changes compared to the previous week figure are indicated in brackets)

12/3/2025

ITALY - PROTEST CONTINUES AT THE FORMER ILVA IN GENOA

The protest of the former Ilva workers continued today, Wednesday 3 December 2025, with roadblocks and demonstrations that also involved the motorway and airport on Tuesday. Remaining in front of the Cornigliano railway station with the roadblocks.
Roadblocks for ex-Ilva protest, updates:
8:45 a.m.: blockade of the Guido Rossam road also closed in the direction of the airport tollgate.
8:30 a.m.: blockade in piazza Savio. Eastbound direction towards Guido Rossa road from piazza Savio closed. For the westbound direction of the Guido Rossa road, exit on piazza Savio closed and open in the direction of the Aeroporto toll station.
6 o'clock: Guido Rossa road open in the eastbound direction. From piazza Savio the closure continues for vehicles coming from the Genova Aeroporto tollbooth. For the westbound direction, the exit on piazza Savio is closed, open in the direction of the Aeroporto tollbooth.
The latest news from Region President Marco Bucci last night is not good: 'The funds needed for the future of the plant are there,' he said, 'but European law does not allow them to be used because the company is in receivership. It is a serious problem, more complex than expected, but this will not make us stop working to find a solution'.
"I have been assured," he added, "that no one will lose their job or go on redundancy pay between now and February, when the second blast furnace in Taranto and then the galvanising in Genoa are scheduled to restart. I have asked that part of the EUR 200 million earmarked for extraordinary maintenance also be allocated to Cornigliano, because we need certainty and a solid industrial future for the plant. I am well aware that the garrison is creating inconvenience for the road system and citizens, and I understand the anger of those who are experiencing this situation. We will do everything we can to resolve this situation quickly, because protecting jobs and guaranteeing an industrial future for the city is fundamental. I will continue to stand by the workers and Genoa until this matter is unblocked'.
In the meantime, Enterprise Minister Adolfo Urso has asked for a new meeting with the Liguria Region and Genoa City Council next Friday.