EU Tungsten Prices Surge Amid Tight Supply and China Export Controls

EU Tungsten Scrap

Export Restrictions and Low Inventories Drive Up Tungsten Prices in Europe

European tungsten prices have surged to multi-year highs due to restricted supply, dwindling inventories, and newly imposed Chinese export controls. The Focus Keyphrase "EU tungsten prices" has gained attention from global buyers navigating a market reshaped by policy shifts and geopolitical uncertainty.

European tungsten concentrate prices are now $310–320/dmtu in Rotterdam warehouses, up from $260–270/dmtu in early January — the highest level since the index’s launch in 2017. This price rally stems from low inventories and tightening global supply, particularly as China has lowered its tungsten mining quota and extended export licensing to include more products.

Western Buyers Lock in Long-Term Contracts Amid Risk

Western buyers are responding to this supply disruption by securing multi-year offtake deals. According to Australia-based producer EQ Resources, these contracts often include large prepayments to hedge against delays in Chinese export licence approvals.

Meanwhile, the defense sector's growing demand for tungsten is driving further contract activity. Almonty Industries, for instance, has signed a multi-year agreement to supply tungsten oxide to U.S.-based TPW for military applications. These agreements underscore the metal's strategic importance and the urgency among buyers to secure long-term supply.

However, some traders question how long the upward momentum can last. While markets like Vietnam remain willing to pay premium prices, others find current rates difficult to accept.

APT Prices Rise as Chinese Controls Disrupt Market

The price of ammonium paratungstate (APT), a key tungsten intermediate, has also spiked. European APT prices now range between $395–405/dmtu, a 20% increase since January and the highest since 2013. China’s restrictions have further worsened European availability, leading to extremely low warehouse stock levels.

As a workaround, some buyers have started importing ammonium tungstate (ATM), which is not currently subject to export controls. Although ATM cannot be converted into oxide, it is usable in limited applications. Industry sources caution that ATM could be restricted if the trade environment worsens.

Adding to the cost pressure, concentrate payables have jumped to 80–85% of APT price, up from the typical 70%, reflecting the sharp increase in feedstock costs.

The Metalnomist Commentary

EU tungsten prices are being reshaped not just by market forces, but by geopolitics. With China tightening control over its critical minerals, Western buyers are being pushed into a new era of strategic procurement. As APT and concentrate prices continue to climb, Europe’s reliance on Chinese tungsten remains a vulnerability — one that may prompt diversification strategies and renewed investment in local supply chains.