Nickel is mined on every inhabited continent, but one country dominates: Indonesia produces over 60% of the world’s supply. Global output reached roughly 3.6 million metric tons in 2023, drawn from mines spread across Southeast Asia, Russia, Canada, Australia, the Pacific Islands, and South America.
The Top Nickel-Producing Countries
Indonesia’s lead is staggering. In 2024, the country produced an estimated 2.2 million metric tons of nickel, more than the rest of the world combined. The Philippines ranks a distant second at around 330,000 metric tons (about 9% of global output), followed by Russia at 210,000 metric tons. Canada, China, Australia, and New Caledonia each contribute roughly 3% to 4% of global production, while Brazil and the United States round out the list of major producers.
Here’s how the top producers stack up:
- Indonesia: 2,200,000 metric tons (61% of world total)
- Philippines: 330,000 metric tons
- Russia: 210,000 metric tons
- Canada: 125,000 metric tons
- China: 120,000 metric tons
- Australia: 110,000 metric tons
- New Caledonia: 110,000 metric tons
- Brazil: 77,000 metric tons
- United States: 8,000 metric tons
Indonesia’s Rise to Dominance
Indonesia wasn’t always the world’s nickel giant. Its rapid rise came from massive investment in integrated processing facilities, particularly on the islands of Sulawesi and the Maluku chain. Production jumped roughly 30% in a single year (2021) as new smelting and refining complexes came online. The country’s first major plant for producing battery-grade nickel began operating on Obi Island in 2021, part of a wave of facilities designed to feed the electric vehicle supply chain.
Indonesia also holds the largest proven reserves of any country: 55 million metric tons. That’s more than 40% of the world’s known reserves, which means its dominance is likely to continue for decades. The government has actively encouraged this growth by banning raw nickel ore exports, forcing companies to process the metal domestically and capture more of its value.
Two Types of Nickel Deposits
Nickel comes from two geologically distinct deposit types, and where a mine sits on the map usually tells you which kind it is.
Laterite deposits form in tropical and subtropical climates where millions of years of weathering concentrate nickel in reddish, clay-rich soils near the surface. These deposits cluster within about 22 degrees of the equator: Indonesia, the Philippines, New Caledonia, eastern Australia, Papua New Guinea, Brazil, Cuba, and Colombia. Laterites hold roughly 55% of the world’s total nickel resources and are typically mined in open pits.
Sulfide deposits form deep underground through volcanic and magmatic processes. They account for about 28% of global nickel resources and are found in cooler, geologically older regions: Canada’s Sudbury Basin and Labrador coast, Russia’s Norilsk region in Siberia, and parts of southern Africa. Sulfide ores are usually extracted through underground mining and tend to produce higher-grade nickel more easily, but the deposits are less abundant.
This split matters because the processing methods are very different. Most laterite nickel goes through a furnace-based process that produces a form of nickel used in stainless steel. A newer, more expensive method produces an intermediate product suited for EV batteries. The furnace route uses more than twice the energy and generates more than twice the carbon emissions per ton of nickel compared to the newer method, which is one reason the industry’s environmental footprint is under growing scrutiny.
Key Mining Regions in Canada and Australia
Canada’s nickel production centers on two historic districts. The Sudbury Basin in Ontario has been mined since the late 1800s, with operations like the Coleman Mine and Copper Cliff mines (the latter discovered in 1887) still running today under Vale’s ownership. The second major hub is Voisey’s Bay in Labrador, a remote coastal site that began production in 2005 after a $4.3 billion acquisition. Together, these regions helped Canada produce about 125,000 metric tons in 2024.
Australia’s nickel belt runs through Western Australia, where operations are spread across arid inland terrain. The country holds the second-largest reserves in the world at 24 million metric tons, nearly half of Indonesia’s stockpile. Despite those reserves, Australian production has faced cost pressures in recent years as Indonesian supply has pushed global nickel prices lower, forcing some mines to curtail output or close temporarily.
Other Notable Producers
Russia’s nickel operations are concentrated around Norilsk in northern Siberia, one of the most remote industrial cities on Earth. The Norilsk complex is among the world’s largest single sources of nickel, though Russia’s output has dipped from around 280,000 metric tons in 2020 to roughly 210,000 metric tons in 2024. Geopolitical factors have complicated Russia’s role in global nickel trade.
New Caledonia, a French territory in the South Pacific, punches well above its weight. With a population under 300,000, it produces around 110,000 metric tons of nickel annually and sits on 7.1 million metric tons of reserves. Its laterite deposits are among the richest on the planet, though the remote location and high operating costs have made its smelters financially vulnerable.
Brazil contributes about 77,000 metric tons per year, drawn from laterite deposits in the state of Goiás and parts of the Amazon region. China mines around 120,000 metric tons domestically but imports far more to feed its massive stainless steel and battery industries. The United States produces only about 8,000 metric tons, almost entirely from a single operation in Michigan, making it heavily dependent on imports.
Global Reserves and Long-Term Supply
The world’s total identified nickel reserves exceed 130 million metric tons. Indonesia leads with 55 million metric tons, followed by Australia (24 million), Brazil (16 million), Russia (8.3 million), and New Caledonia (7.1 million). The Philippines, despite being the second-largest producer, holds a comparatively modest 4.8 million metric tons in reserves.
Demand for nickel has been climbing steadily, driven by two industries: stainless steel (which still accounts for the majority of nickel use) and lithium-ion batteries for electric vehicles. The U.S. government added nickel to its critical minerals list in 2021, reflecting concerns about supply concentration. With Indonesia controlling both the majority of current production and the largest share of reserves, the global nickel market is more geographically concentrated than almost any other major industrial metal.