The firm, with strong Swiss links, has launched legal action against a Dubai-based metals trader and the group of companies he runs out of the Middle East emirate.
“The fraud concerns containerised nickel in transit during 2022 and involved misrepresentation and presentation of a variety of false documentation,” Trafigura said in a statement on Thursday.
Random checks of these containers found they contained no nickel at all. Most of the shipment is still in transit awaiting inspection.
Nickel is an important industrial metal with a variety of uses from batteries to coins, medical equipment and turbine blades.
Trafigura has set aside the $577 million provision in expectation of the worst-case scenario.
The company, which made a record $7 billion net profit in 2022, says the fraud is limited to one business line and would not affect group operations.
Trafigura added that it still expects profits for the first six months of 2023 to exceed those of the same period last year.
This article was updated on February 10, 2023, to indicate the correct figure of CHF577 million, not the previously stated CHF577 billion.
More
More
Rethinking artisanal cobalt mining in the DRC
This content was published on
Formalising artisanal mining offers the best shot at ending human rights abuses in the cobalt supply chain, says a Swiss human rights expert.
Should Switzerland take measures to support its struggling industries?
Industrial policies are back in fashion, not only in the United States but also in the EU. Should Switzerland, where various industries are struggling, draw inspiration from such policies?
As a Swiss Abroad, how do you feel about the emergence of more conservative family policies in some US states?
In recent years several US states have adopted more conservative policies on family issues, abortion and education. As a Swiss citizen living there, how do you view this development?
This content was published on
The parents of the young jihadist who left for Syria to join the Islamic State have been given suspended sentences by the Federal Criminal Court.
This content was published on
Felix Lehner, Pamela Rosenkranz and Miroslav Sik have been awarded the Swiss Grand Award for Art/Prix Meret Oppenheim 2025.
Nearly 2% of new Swiss disability insurance claims involve Long Covid
This content was published on
Just under 2% of new claims submitted to the disability insurance between 2021 and 2023 concern people suffering from Long Covid.
This content was published on
The watch industry had to contend with a weakening of its exports last year, which reached a volume of CHF25.9 billion ($28.5 billion).
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.
Read more
More
Trafigura shareholders and top traders split $1.7bn payouts
This content was published on
Swiss commodities trader Trafigura is handing $1.7 billion to top traders and shareholders as profits double in the midst of an energy crisis.
Traders with Swiss links continue to buy and sell Russian oil
This content was published on
A handful of traders with strong connections to Geneva have reportedly increased their Russian oil shipments, says Le Matin Dimanche.
Stay or go? The dilemma of Swiss companies in Russia
This content was published on
Caught between potential damage to their image and having their businesses confiscated, Swiss firms active in Russia have a tough choice.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.