Nickel prices jumped after reports emerged of production cuts in Indonesia, the world's top producer of the metal. Futures climbed as much as 2.6% to $19,050 a ton on the London Metal Exchange following news of reduced output at one of the industry's key production hubs.

The Shanghai Metals Market reported that 10% to 15% of high-grade nickel pig iron capacity at Indonesia's Weda Bay Industrial Park will enter rotational maintenance in the coming months, tightening global supply just as demand from electric vehicle manufacturers shows no signs of slowing down.

Indonesia controls roughly 30% of global nickel production, making any capacity reduction particularly impactful for market dynamics. The production cut comes amid ongoing concerns about supply chain stability in the critical battery metal market, with manufacturers closely monitoring price movements for strategic planning and cost management.