The invention relates to a method for reducing 
nickel ore by using a reducing 
rotary kiln and producing ferronickel by rusting an electric furnace, which comprises the following steps: placing 
red soil ferronickel ore, reducing 
coal, a desulfurizing agent and additives into the 
rotary kiln for direct reduction, further performing selection, rusting, and 
smelting the high-grade ferronickel by the electric furnace, wherein the 
nickel grade is not less than 20%; and simultaneously recovering 
ferric oxide red, and using a 
waste material to manufacture burning-free bricks. The process flow is as follows: preparing raw materials, directly reducing via the 
rotary kiln, cooling via a cooling 
kiln, performing the selection, rusting, and 
smelting by the electric furnace. The particle size of the 
coal is required to be not more than 15mm, the particle size of 
lime is less than 2mm, primary air and secondary air are adopted for burning the 
coal, the 
calcination time is 2.5-9 hours, the temperature in the 
kiln is 500-1180 DEG C, the materials are cooled to below 38 DEG C by the cooling 
kiln, the selection is performed for removing impurities, the rusting is performed for removing the impurities, the 
smelting is performed by the electric furnace, and then the 
nickel content in the ferronickel is not less than 20%. The method is simple, the technology is advanced, the 
energy conservation and the emission reduction are realized, the cost is low, the quality is high, and the degree of 
mechanization and the degree of 
automation are high, large-scale production is benefited, large market is achieved, the competitiveness is strong, environment friendliness is achieved, significant 
economic benefits is obtained, good 
social benefits and environment-friendly effect are achieved, and further a new way for refining nickel from the 
red soil ore is .