Indonesia Ferro-nickel HS720260 Export Data 2025 Q2 Overview

Indonesia Ferro-nickel (HS 720260) 2025 Q2 Export: Key Takeaways

Indonesia’s Ferro-nickel exports under HS Code 720260 in Q2 2025 reveal a market dominated by China, absorbing 96.8% of shipments at a stable $1.50/kg, signaling uniform product grade and pricing. The extreme buyer concentration heightens supply chain risks, with minimal diversification beyond China’s steel-driven demand. This analysis, covering Q2 2025, is based on verified Customs data from the yTrade database.

Indonesia Ferro-nickel (HS 720260) 2025 Q2 Export Background

Indonesia Ferro-nickel (HS Code 720260), a key ferro-alloy, is vital for stainless steel and alloy production, ensuring steady global demand. Recent policy shifts under Indonesia's Permendag 8/2025 tighten export controls, prioritizing downstream processing while allowing exemptions for refined products [Permitindo]. As a major exporter, Indonesia's Q2 2025 trade flows remain concentrated in China, with rising unit prices ($1.48/kg in October 2025) reflecting market reliance and regulatory adjustments [YTrade].

Indonesia Ferro-nickel (HS 720260) 2025 Q2 Export: Trend Summary

Key Observations

Indonesia Ferro-nickel HS Code 720260 Export in 2025 Q2 achieved a total value of 4.35 billion USD with a volume of 2.91 billion kg, marking a solid quarter despite evolving regulatory pressures.

Price and Volume Dynamics

Quarter-over-quarter, value rose by approximately 13% from Q1's 3.85 billion USD, while volume increased by around 4.4% to 2.91 billion kg from 2.78 billion kg. This growth aligns with typical industrial demand cycles, where Q2 often sees heightened activity in steel and alloy sectors globally, driving both volume and value. The average price per kg climbed from 1.38 USD in Q1 to 1.50 USD in Q2, reflecting tighter market conditions and early impacts of Indonesia's policy shifts toward value-added exports.

External Context and Outlook

The upward trend in Q2 was likely reinforced by Indonesia's new export regulations, such as Permendag 8 and 9 of 2025, which restrict raw material shipments to promote domestic processing [Permitindo]. These policies, effective from January 2025, are starting to concentrate exports toward key markets like China and elevate unit prices, as later data shows (Permitindo). Looking ahead, continued regulatory enforcement may sustain price premiums but could pressure volumes if downstream capacity constraints emerge, shaping a cautious outlook for H2 2025.

Indonesia Ferro-nickel (HS 720260) 2025 Q2 Export: HS Code Breakdown

Product Specialization and Concentration

In Q2 2025, Indonesia's export of Ferro-nickel under HS Code 720260 is entirely dominated by a single product type, Ferro-alloys; ferro-nickel, which accounts for all export value and weight. The unit price of 1.50 USD per kilogram indicates a standardized bulk commodity, with no price anomalies or variations within this code to isolate.

Value-Chain Structure and Grade Analysis

With only one product listed, the structure suggests a homogeneous trade in bulk Ferro-nickel, characterized by minimal differentiation in quality or value-add stages. This points to a fungible commodity market, where products are likely traded based on weight and standard specifications, rather than branded or highly processed goods.

Strategic Implication and Pricing Power

As a bulk commodity, pricing power for Indonesia Ferro-nickel HS Code 720260 Export 2025 Q2 may be influenced by global supply-demand dynamics, but recent policy changes support value retention. According to ytrade.com, unit prices have risen, and export regulations under Permendag 8/2025 emphasize downstream processing, which could enhance strategic focus on market diversification beyond heavy reliance on China (ytrade.com).

Check Detailed HS 720260 Breakdown

Indonesia Ferro-nickel (HS 720260) 2025 Q2 Export: Market Concentration

Geographic Concentration and Dominant Role

In Q2 2025, Indonesia's Ferro-nickel HS Code 720260 export is overwhelmingly concentrated in China Mainland, which accounts for 96.82% of the value and 96.60% of the weight, showing near-equal ratios and indicating a standard product grade with consistent pricing around $1.50 per kilogram. This high concentration underscores China's role as the primary market for Indonesia Ferro-nickel exports, with minimal disparity suggesting uniform commodity handling.

Partner Countries Clusters and Underlying Causes

The export partners form two clear clusters: China Mainland as the dominant buyer, likely due to its massive steel production needs; and a secondary group including South Korea, India, Netherlands, and China Taiwan, with lower volumes and slightly reduced value-to-weight ratios, pointing to possible purchases of lower-grade material or spot market deals for specific industrial applications.

Forward Strategy and Supply Chain Implications

The heavy reliance on China poses significant supply chain risks, such as vulnerability to policy shifts or demand changes. To mitigate this, exporters should explore diversifying into other Asian markets while adhering to Indonesia's evolving export regulations, which emphasize downstream processing and controlled exports as noted in recent policy updates [permitindo.com]. This approach can stabilize Indonesia Ferro-nickel HS Code 720260 export flows in 2025 Q2 and beyond.

Get Complete Partner Countries Profile

Indonesia Ferro-nickel (HS 720260) 2025 Q2 Export: Action Plan for Ferro-nickel Market Expansion

Strategic Supply Chain Overview

Indonesia Ferro-nickel Export 2025 Q2 under HS Code 720260 operates as a bulk commodity. Price is driven by global nickel demand and China's steel production cycles. Geopolitical policies, like Indonesia's export regulations, also influence costs.

Supply chain implications are significant. Heavy reliance on China creates vulnerability to demand shifts. Indonesia acts as a raw material supplier, not a processor. This limits value retention and increases exposure to international price volatility.

Action Plan: Data-Driven Steps for Ferro-nickel Market Execution

• Diversify buyer portfolios using trade data. Target secondary markets in Asia to reduce dependence on China and stabilize revenue streams.
• Monitor policy updates like Permendag 8/2025. Adjust export timing to comply with new rules and avoid shipment delays or penalties.
• Analyze buyer purchase frequency. Predict order cycles from dominant clients to optimize production scheduling and reduce inventory costs.
• Track global nickel price indices. Use real-time data to negotiate better contract terms and protect against market downturns.

Take Action Now —— Explore Indonesia Ferro-nickel Export Data

Frequently Asked Questions

Q1. What is driving the recent changes in Indonesia Ferro-nickel Export 2025 Q2?

The Q2 value rose 13% to $4.35B, driven by higher unit prices ($1.50/kg) and regulatory shifts like Permendag 8/2025, which prioritizes downstream processing and restricts raw exports.

Q2. Who are the main partner countries in this Indonesia Ferro-nickel Export 2025 Q2?

China dominates with 96.8% of export value, followed by minor shares to South Korea, India, Netherlands, and Taiwan.

Q3. Why does the unit price differ across Indonesia Ferro-nickel Export 2025 Q2 partner countries?

Prices are standardized at $1.50/kg for bulk Ferro-nickel, with slight variations in secondary markets likely due to spot deals or lower-grade purchases.

Q4. What should exporters in Indonesia focus on in the current Ferro-nickel export market?

Exporters must prioritize relationships with high-volume buyers (71% of value) while diversifying beyond China to mitigate concentration risks under new regulations.

Q5. What does this Indonesia Ferro-nickel export pattern mean for buyers in partner countries?

China’s dominance ensures stable supply for bulk buyers, but secondary markets face limited availability and potential price premiums for niche demand.

Q6. How is Ferro-nickel typically used in this trade flow?

Ferro-nickel is a bulk commodity primarily used in stainless steel production, traded based on weight and standard specifications.

Detailed Monthly Report

Indonesia HS720260 Export Snapshot 2025 APR

Indonesia HS720260 Export Snapshot 2025 MAY

Indonesia HS720260 Export Snapshot 2025 JUN