Distribution

Despite geopolitical challenges and related logistical issues, the Company successfully met all its obligations to customers in 2024, having never failed to deliver on its commitments. This solid performance was to a large extent driven by Nornickel’s long‑standing policy and building direct relationships with market players.

In 2024, the Company’s products were supplied to key metal‑consuming countries.

Nornickel metals’ applications

Sales and distribution strategy

As the world’s largest producer of several metals, Nornickel views sales and distribution as a key pillar of its business, on par with production. The key objective of sales and distribution is to ensure current and future liquidity across the entire product range.

The Group sells its products globally both through its own sales offices in Europe, China, and Russia and via distributors in other regions.

Nornickel’s products are registered on major global commodity exchanges. In particular, the Foreign site passed an audit in 2024 confirming compliance with the LME Responsible Sourcing requirements and maintained its LME brand registration.

Group products by site

The Company’s market reach enables it to respond promptly to evolving demands in terms of product quality and services as well as to changes in the market environment and other external conditions affecting sales and distribution. Nornickel favours direct sales to industrial customers, while also engaging other professional market participants willing to partner with the Company to promote its products.

Nornickel has traditionally positioned itself as a responsible supplier committed to the sustainable development of end markets for its core products and not seeking to benefit from its market position to the detriment of other participants. Regardless of external conditions, consumers can rely on Nornickel for a stable supply and unrestricted access to consistent‑quality products in volumes that meet market demand.

Nickel sales and distribution strategy

The Company’s nickel product sales mix matches the global nickel consumption profile, where the key end‑use segments include stainless and specialty steel production, alloy manufacturing, and electroplating. The battery sector is also growing in importance.

To capture the expected mid‑ and long‑term growth in nickel demand from the battery sector, Nornickel continues to implement a number of initiatives to enhance and expand its existing product range supporting the battery supply chain. The significant increase in Indonesian nickel supply may become a limiting factor for the implementation of these initiatives. Nevertheless, the competitive advantages of Norilsk Nickel products, such as their low carbon footprint and full compliance with internationally recognised environmental standards, support the Company’s continued presence in market segments that traditionally prioritise these qualities, particularly in sustainable electric vehicle production.

The sales and distribution strategy for nickel products is aimed at striking a healthy balance between supplies to stainless steel producers and deliveries to other industries, thereby ensuring the Group’s stable sales performance amid shifting consumption trends in end‑use markets.

In recent years, the battery sector has been the fastest‑growing end‑use segment. The Company is strongly focused on building long‑term relationships with key market participants and explores various forms of cooperation with consumers in the battery sector. Nornickel also conducts research in battery recycling and works on developing integrated solutions for the future battery supply chain.

In the alloys, special steels, and electroplating sectors, the Company aims to fully leverage the strengths of its product portfolio and enhance product quality to expand its presence in premium segments with high quality requirements.

PGM sales and distribution strategy

The automotive industry, the production of process catalysts, as well as the jewellery and medical products industries, have traditionally remained the key market segments for platinum group metal (PGM) products.

As the world’s largest producer of palladium, the Company continues to focus on developing relationships with major end users and key market participants to support long‑term and sustainable demand. At the same time, Nornickel takes part in various initiatives aimed at further promoting the use of palladium in various future industrial applications. Among other initiatives, Nornickel is actively developing palladium‑based solutions for emerging technologies, including hydrogen energy, advanced chemistry, solar power, and other areas that have the potential to expand the metal’s applications going forward.

Product quality

In 2024, Nornickel once again reaffirmed its reputation as a reliable supplier of high‑quality products. The Company places top priority on delivering high‑quality products and related services to maximise customer satisfaction. The Company’s products comply with national and international quality standards. Nornickel’s production sites have established procedures during both the manufacturing process and final product release to manage non‑conforming products and prevent their delivery to customers. The handling of such products, responses to customer complaints, and corrective actions are carried out in accordance with documented procedures compliant with ISO 9001:2015. With regard to product acceptance by consumers, the Company follows the instruction on the procedure for acceptance of products by quantity and quality, as well as the product supply contract.

All of the Company’s products are certified, with safety certificates issued that set out product‑specific requirements for transportation and handling.

The Company successfully maintains certification to international standards such as ISO 9001 (quality management), ISO 45001 (occupational health and safety management), ISO 14001 (environmental management), and ISO/IEC 27001 (information security management).

In line with the principles of transparency and openness in disclosing product quality information to consumers and other stakeholders, up‑to‑date data on the physical and chemical properties of the Company’s products is available in the Products section of the Company’s website.

Customer satisfaction

Every year, the Company conducts a customer satisfaction survey in line with ISO 9001 to collect feedback from its customers. The feedback received is reviewed and incorporated into initiatives to improve product and service quality.

Nornickel is committed to continuous improvement. The integrated index of customer satisfaction with the Company’s products and services was fully in line with our target for 2024.

Customer satisfaction is measured and assessed using a numerical satisfaction score. The evaluation is based on criteria that reflect the quality attributes of the Company’s products and services. Each criterion is evaluated using the following scale: 3 points — the customer is fully satisfied; 2 points — the customer is partially satisfied; 1 point — the customer is not satisfied with the quality of the Company’s products and services.

During the reporting period, Nornickel retained most of its customer base and established new partnerships in new markets, promptly adding new clients to its portfolio.

Consumer personal data protection

Personal data protection at Nornickel is governed by the Personal Data Processing and Security Methodology and the Personal Data Processing Policy, both developed in line with legal requirements. Documents provided by consumers and containing personal data, among other information, are stored in the information system in compliance with relevant data protection regulations. In 2024, there were no data‑related incidents involving consumers’ personal data.