Almonty Tungsten Revenue Stable at C$7.9 Million Despite US Relocation Costs

Almonty

Almonty tungsten revenue increased modestly by 1% to C$7.9 million in Q1 despite significant relocation expenses related to US incorporation. The Canadian tungsten miner's Almonty tungsten operations demonstrated resilience with mining income rising 24% to C$752,000, primarily driven by increased production at the Panasqueira mine in Portugal while managing substantial corporate restructuring costs.

Production Growth Offsets Corporate Restructuring Impact

Almonty tungsten mining operations delivered improved operational performance despite challenging circumstances. Income from mining activities increased 24% to C$752,000, reflecting enhanced production efficiency at the company's Portuguese Panasqueira facility. However, operating expenses more than doubled from C$4.3 million to C$9.5 million, primarily due to costs associated with the US incorporation process.

Meanwhile, the company reported a substantial C$34.6 million loss compared to C$3.8 million in 2024, largely attributed to non-cash losses from equity value changes during US incorporation. Almonty initiated this strategic relocation in January to enhance competitiveness in global tungsten and molybdenum markets, positioning itself closer to key North American defense contractors and technology companies.

Sangdong Project Drives Future Growth Expectations

However, Almonty tungsten prospects improve significantly with the approaching Sangdong project production in South Korea. The company secured a comprehensive offtake agreement in January, selling 100% of Sangdong Molybdenum project output to South Korean ferro-molybdenum producer SeAH. This strategic partnership provides guaranteed revenue streams and eliminates marketing risks for the high-grade molybdenum operation.

Therefore, the Sangdong facility represents a transformative asset for Almonty's production portfolio and revenue diversification strategy. South Korea's established metals processing infrastructure and SeAH's long-term commitment create optimal conditions for sustained project success. The molybdenum market's strong fundamentals support premium pricing for high-quality concentrate production.

Defense Applications Strengthen Market Position

Furthermore, Almonty secured critical defense sector contracts that demonstrate tungsten's strategic importance. The company signed a binding three-year agreement with Tungsten Parts Wyoming (TPW) to supply 40 metric tonnes monthly of tungsten oxide for defense applications. This contract provides stable revenue streams while supporting US national security supply chain objectives.

As a result, tungsten demand continues expanding in defense and technology sectors due to the metal's exceptional properties. Tungsten carbide applications in cutting tools leverage the material's high melting point and hardness for machining operations. Growing defense spending and advanced manufacturing requirements create sustained demand for reliable tungsten suppliers like Almonty.

The Metalnomist Commentary

Almonty's strategic US relocation, despite near-term costs, positions the company advantageously for North American defense and technology market access while the Sangdong project provides substantial production growth potential. The combination of established Portuguese operations, emerging South Korean molybdenum production, and secured US defense contracts creates a diversified revenue base supporting long-term tungsten market leadership.

China Increases Tungsten Mining Quotas for 2024: A Strategic Move Amid Tightening Supply

Chinese Tungsten

The Chinese government has officially raised its tungsten mining quotas for 2024, marking another year of strategic resource management. According to the Ministry of Natural Resources, the new quota is set at 114,000 tons of tungsten trioxide (WO3) equivalent, up from 111,000 tons in 2023. This increase follows previous increments from 109,000 tons in 2022 and 108,000 tons in 2021, highlighting China's ongoing efforts to control and optimize its critical mineral resources.

Key Distribution Across Provinces

The updated quotas have been distributed across 15 provinces, with Jiangxi province—home to the leading producer Jiangxi Tungsten—receiving the largest allocation of 40,300 tons. This represents 35% of the total national quota. Hunan province, another significant region in China’s tungsten production landscape, was allocated 30,000 tons, up from 27,300 tons in 2023 and 26,100 tons in 2022, comprising 26% of the total quota.

The Importance of Quota System

China introduced the tungsten production quota system in 2002 to safeguard its valuable resources. Despite the quotas, actual production has often exceeded these limits. For example, China produced 117,109 tons of tungsten in 2023, 127,300 tons in 2022, and 138,900 tons in 2021, according to the National Bureau of Statistics. However, the gap between quotas and actual production has been narrowing, partly due to the frequent closures of smaller mining operations driven by stringent environmental policies and rising production costs.

Impact on Tungsten Supply and Prices

The tightening supply of tungsten concentrate, exacerbated by the depletion of high-grade resources and the shutdowns of smaller mines, has led to a steady increase in tungsten prices. Nevertheless, the downstream demand from the manufacturing sector, which is the primary consumer of tungsten, remains moderate. This is largely due to ongoing uncertainties in global economic growth, which continue to impact the broader market dynamics.

Kazakhstan Tungsten Concentrate Production to Begin at Boguty Mine in 2025

Boguty Mine

Kazakhstan tungsten concentrate production will officially enter the market in 2025 as the Boguty tungsten mine starts commercial sales. The mine, located in eastern Kazakhstan, is operated by a joint venture between Jiangxi Copper and Jiaxin International Resource Investment. While production began in November 2024, official sales of tungsten concentrate are set for the second quarter of 2025.

Steady Growth in Output Forecasted

The Boguty mine is projected to produce 5,979 tonnes of tungsten concentrate in 2025. By 2028, annual output is expected to rise to 13,216 tonnes. The gradual ramp-up aligns with the operators’ long-term strategy to establish Kazakhstan as a reliable tungsten supplier. However, its contribution remains modest compared to China's 127,000 tonnes produced in 2024.

Global Supply Impact Likely Minimal

Despite the launch of Kazakhstan tungsten concentrate production, market experts believe the new supply will not significantly ease global shortages. Depletion of high-grade tungsten resources, particularly in mature mining regions, has tightened supply globally. The Boguty mine's initial volumes are not sufficient to offset current deficits, especially with rising demand from aerospace, defense, and energy sectors.

The Metalnomist Commentary

The start of Kazakhstan tungsten concentrate production signals a diversification in the global tungsten supply chain. However, meaningful market impact will depend on Boguty's ability to scale production and maintain ore quality amid geopolitical and logistical challenges.

Mt Carbine Tungsten Mine Expansion Targets Higher Australian Supply

EQ Resources

Mt Carbine tungsten mine operator EQ Resources has approved a A$39mn expansion that will double ore crushing capacity at its Queensland operation. The investment comes as tungsten prices remain elevated following Chinese export controls and stronger global defence demand.

Mt Carbine tungsten mine crushing capacity will increase from 1mn t/yr to 2mn t/yr. EQR expects the project to come online in the January-March quarter of 2027.

Mt Carbine tungsten mine expansion will address the main processing bottleneck at the operation. Additional crushing capacity will allow EQR to process more low-grade stockpiled ore and increase tungsten recovery from material already available at the site.

The company expects the project to add 500 metric tonne units per year of tungsten trioxide output. One mtu represents 10kg of 100% tungsten trioxide content.

Crushing Expansion Unlocks Existing Tungsten Feedstock

Crushing capacity has constrained Mt Carbine’s ability to increase processing volumes. Doubling capacity gives EQR a relatively direct route to higher output without relying entirely on new mine development.

The project will particularly improve access to low-grade stockpiles. This is important because higher tungsten prices can make previously marginal material increasingly economic to process.

EQR plans to fund the expansion through existing cash reserves and expected cash flows from tungsten trioxide sales. The company therefore avoids depending entirely on new external financing for the project.

The economics have improved dramatically as tungsten prices have risen. European ammonium paratungstate prices recently reached around $3,000/mtu, up 590% from a year earlier.

Chinese export controls introduced in February 2025 have been a major driver. Tight Chinese domestic supply and rising defence demand have further strengthened the market.

Tungsten is strategically important because of its hardness, heat resistance and high density. It is used in cutting tools, aerospace components, electronics and defence applications.

Offtake Agreements Secure Routes for Additional Supply

EQR does not expect to rely on a conventional spot market for additional tungsten trioxide output. The company said incremental production will instead move through existing offtake agreements.

Traxys has an agreement covering 3,500 t/yr, while US tungsten manufacturer Elmet Technologies has secured an undisclosed quantity.

EQR has also signed agreements with five undisclosed tungsten manufacturers across Asia, North America and Europe. These contracts cover a combined 9,400t of 50% grade tungsten concentrate over two years.

This diversified offtake structure is strategically significant. Tungsten markets are relatively small and specialised, making long-term customer relationships more important than highly liquid spot trading.

The agreements also connect Australian tungsten production directly with processing and manufacturing customers across several regions. That strengthens Mt Carbine’s role as a non-China tungsten source.

With Chinese export controls increasing procurement risk, western manufacturers are placing greater value on diversified and contractually secured supply. Mt Carbine is positioned to benefit from that shift if EQR completes its expansion on schedule.

The Metalnomist Commentary

Mt Carbine shows how high tungsten prices are making existing stockpiles and brownfield expansions more valuable. EQR’s real strategic advantage is the combination of available feedstock, secured offtake and growing demand for non-China tungsten.

Haisheng to Build Advanced Tungsten Plant in Thailand Amid Growing Global Demand

Ganzhou Haisheng

Ganzhou Haisheng, a leading Chinese tungsten producer, has received local government approval to construct a state-of-the-art tungsten processing plant in Thailand. The facility, with a total investment of 180 million yuan ($25 million), underscores China's strategic move to expand its tungsten production capacity beyond domestic borders.

The planned plant boasts an impressive production lineup, including:

•  3,000 t/yr of ammonium paratungstate (APT)
•  2,000 t/yr of tungsten powder
•  1,200 t/yr of tungsten carbide
•  400 t/yr of tungsten bar
•  300 t/yr of cemented carbide

While the exact completion and production dates remain unconfirmed, the project represents a significant milestone for Haisheng, known for its comprehensive production lines in China spanning from ore processing to downstream products like powders, metals, and wires.

Strategic Expansion Amid Trade Tensions

This development comes as Chinese tungsten exporters face increasing challenges due to trade conflicts with the United States. Since the US imposed a 25% tariff on Chinese tungsten products in September, Chinese exports have declined. Data from January to August reveals a 12% year-on-year drop, with exports totaling 11,718 tons of tungsten metal equivalent.

In response, Chinese tungsten producers are exploring overseas projects to mitigate the impact of trade barriers and diversify their markets. Haisheng's Thailand facility could serve as a model for other producers aiming to navigate geopolitical uncertainties while meeting rising global demand for tungsten, a critical material in electronics, aerospace, and industrial tooling.

A Boon for Thailand’s Economy

Thailand stands to benefit economically and technologically from Haisheng's investment. The new plant could bolster the country's industrial capacity, create jobs, and attract further foreign direct investment in the metals sector.

Conclusion

Haisheng’s move to establish a tungsten plant in Thailand highlights a pivotal shift in the global tungsten supply chain. As geopolitical pressures reshape trade dynamics, Chinese producers like Haisheng are strategically positioning themselves to remain competitive in the evolving global metals market.

Xianglu Expands Tungsten Wire Production in China

Tungsten Wire

Surge in Tungsten Wire Output

China’s Xianglu Tungsten has significantly expanded its production of super-fine tungsten wire at its Chaozhou facility in Guangdong province. The plant is now producing 500mn meters of wire per month, targeting an annual capacity of 30bn meters that was first outlined in September 2023. This rapid scale-up underscores Xianglu’s growing role as a leading supplier of downstream tungsten products.

The expansion has already impacted the company’s financial results. Revenues for January–March rose 4.2% year on year to 481mn yuan ($66.9mn). More notably, revenue from the tungsten wire segment surged sevenfold, though the company did not disclose the exact figure. Demand is being driven by the photovoltaic sector, where fine tungsten wire is used as a cutting tool for silicon wafer slicing.

Market Impact and Price Influence

Tungsten wires totaling 100mn meters typically consume about 4t of tungsten concentrate, highlighting Xianglu’s role as a major consumer of feedstock. Alongside peers Xiamen Tungsten and Zhangyuan Tungsten, Xianglu’s bi-monthly bidding prices significantly influence spot tungsten markets. Collectively, term contracts from these firms account for 60–70% of China’s tungsten feedstock demand, according to industry estimates.

In June, Xianglu raised its bid prices to Yn171,000/t for 50% wolframite concentrate and Yn251,000/t for APT, reflecting increases of Yn8,500/t and Yn9,500/t respectively. Xiamen Tungsten also lifted APT bids to Yn250,000/t, reinforcing an upward trend in feedstock prices. These price moves suggest sustained strength in demand, even as downstream industries navigate broader economic pressures.

The Metalnomist Commentary

Xianglu’s tungsten wire expansion highlights the intersection of renewable energy growth and raw material demand. As photovoltaic installations surge, tungsten’s strategic role is intensifying. With pricing power concentrated in a few Chinese firms, global buyers remain highly exposed to policy, energy, and cost dynamics within China’s tungsten industry.

GTP Tungsten Oxide Stockpile Expansion Strengthens US Defense Supply

GTP Tungsten & Powders

GTP tungsten oxide stockpile plans will expand US access to one of the most strategically sensitive defense metals. Global Tungsten and Powders plans to raise tungsten oxide production capacity at its Towanda, Pennsylvania, plant to about 12,000 t/yr.

The GTP tungsten oxide stockpile will support US defense and critical industries, with initial deliveries expected later this year. The company did not disclose the exact volume dedicated to the reserve.

The GTP tungsten oxide stockpile is significant because tungsten is essential for armour-piercing ammunition, aircraft engine components, electronics, hard metals and other high-performance applications. Defence currently accounts for about 10% of global tungsten demand, but that share is rising as military budgets expand.

GTP, part of Austria’s Plansee group, already has around 10,000 t/yr of tungsten oxide capacity, although output can vary by about 15% depending on operating conditions. The planned expansion would give the US a stronger domestic platform for strategic tungsten oxide supply.

Recycling-Based Supply Supports Traceability and Security

The stockpile will use tungsten oxide sourced from recycled scrap and concentrates. This structure is important because US strategic materials procurement increasingly requires clear sourcing, traceability and supply-chain security.

Recycling is already central to GTP’s Towanda operation. Recycled material accounted for the majority of supply in 2025, when the plant recorded a recycling rate of 90%.

This gives the project a stronger compliance profile. Tungsten supply chains are exposed to geopolitical risk, concentrated processing and origin scrutiny, so recycled feedstock can help reduce dependence on higher-risk primary sources.

Tungsten recycling also supports industrial resilience. Scrap recovery can preserve valuable metal units inside the US system while reducing exposure to foreign concentrate availability.

For defense users, the key requirement is not only tonnage. They need reliable, traceable and qualified material that can be converted into powders, carbides, alloys and components without supply interruption.

The Towanda expansion therefore addresses a strategic gap. It does not only increase tungsten oxide capacity; it creates a more controlled domestic reserve tied to recycled and traceable inputs.

Stockpiling Moves From Emergency Buffer to Industrial Tool

Plansee US Holding has formed a joint venture with Manhattan Five to establish the stockpile. Manhattan Five will oversee warehousing, logistics and long-term asset management, while Plansee will lead production growth and supply.

The structure separates metal production from storage and asset management. That distinction matters because strategic stockpiles require more than buying material. They need inventory systems, logistics, inspection, rotation policies and long-term custody control.

The Defense Logistics Agency manages strategic and critical material procurement for the National Defense Stockpile. This system supports military and federal customers that need access to critical materials during supply disruptions.

The GTP project aligns with broader US priorities and could qualify for support from the Department of Defense, Department of Energy or the Export-Import Bank of the United States.

Washington is also preparing Project Vault, a proposed $12bn critical minerals stockpile for US manufacturers. The programme would be funded by $2bn in private capital and a loan.

The broader policy direction is clear. The US is moving from passive dependence on global tungsten markets toward active supply-chain positioning through stockpiles, domestic processing, recycling and public-private financing.

For tungsten markets, this could tighten competition for clean feedstock, especially recycled scrap and compliant concentrates. It may also raise the strategic value of processors that can meet US sourcing and traceability rules.

The Metalnomist Commentary

GTP’s tungsten oxide expansion shows that US stockpiling is becoming more industrially sophisticated. The strategic advantage will come not from holding material alone, but from linking stockpiles to recycling, domestic processing and qualified defense supply chains.

Tungsten Offtake Deal Strengthens EQ Resources’ Role in Tight Western Supply Chains

EQ Resources

Tungsten offtake deal activity is accelerating as Western buyers seek secure supply in a market facing concentrate shortages and sharp price increases. EQ Resources binding agreement with Traxys highlights how tungsten has moved from a niche industrial metal into a strategic supply-chain concern for Europe, North America, and advanced manufacturing sectors.

The Australian producer will sell 3,500 t/yr of tungsten oxide in concentrate to Traxys for five years. Pricing will follow ammonium paratungstate indexes, giving the agreement direct exposure to a market that has rallied sharply over the past year. EQ Resources estimates the deal at A$678mn, or about $479mn.

The tungsten offtake deal also includes a €15mn prepayment that will support refinancing of EQR’s Saloro mining complex in Spain. This matters because European tungsten supply has become increasingly important as buyers face limited concentrate availability and rising concerns over Chinese export restrictions on downstream tungsten products.

Traxys Agreement Supports Saloro Financing and Market Access

The Traxys agreement gives EQ Resources a stronger commercial platform for its tungsten output. Offtake deals are especially important in tight specialty metal markets because they can support financing, improve customer visibility, and reduce marketing risk for producers.

Saloro remains a key asset in this strategy. The Spanish operation gives EQR exposure to European tungsten production at a time when the region is trying to strengthen local and allied supply chains. However, Saloro’s production fell by 13pc year on year in July-September because of declining ore grades, showing that asset optimisation remains critical.

EQR used the quarter to improve ore processing and concentrator plants at Saloro. These upgrades are important because tungsten concentrate supply is not only about mine ownership. It also depends on recovery performance, grade management, processing efficiency, and the ability to deliver consistent concentrate quality into long-term contracts.

Tungsten Price Rally Raises Strategic Value of Concentrate Supply

The tungsten offtake deal comes during an exceptional rally in ammonium paratungstate prices. Super Metal Price assessed tungsten APT at $1,700–1,900/mtu in-warehouse Rotterdam, up by about 390pc from a year earlier. That surge reflects a critical shortage of tungsten concentrates in Europe and tighter availability of downstream tungsten products.

Chinese export restrictions have added pressure to the market. Tungsten is essential for cutting tools, hard metals, defence systems, mining equipment, aerospace components, and high-temperature industrial applications. Any disruption in concentrate or intermediate product availability can quickly affect manufacturing supply chains.

EQR has already built a wider offtake base. The company previously agreed to supply tungsten concentrate to Asian, North American, and European producers, and also signed a five-year offtake deal with US producer Elmet Technologies. The Traxys agreement strengthens that pattern and reinforces EQ Resources’ position as a relevant non-Chinese tungsten supplier.

The Metalnomist Commentary

Tungsten is becoming a clear example of how specialty metals can move from overlooked inputs to strategic bottlenecks. The Traxys-EQR deal shows that secure concentrate access, financing, and processing reliability now matter as much as headline mine capacity.

Trinity Tungsten Drilling Campaign Targets Larger Rwanda Supply Base

Trinity, Rwanda

Trinity tungsten drilling has begun at the Nyakabingo mine in Rwanda as the company works to expand one of Africa’s largest tungsten deposits. The campaign is designed to confirm deeper mineralised vein extensions and support long-term mine sustainability.

Trinity tungsten drilling is strategically important because tungsten supply is increasingly tied to defence, aerospace, cutting tools, electronics and energy applications. Rwanda’s role could grow if Nyakabingo moves from semi-industrial production toward full-scale operations.

Trinity tungsten drilling will target depths of about 850m from the surface. The company may consider additional exploration across the licensed area depending on drilling results.

Nyakabingo currently produces 100-110 t/month of wolframite grading 66-70% tungsten. The deposit hosts an estimated 115,502t of recoverable tungsten, with further resource potential at depth.

Nyakabingo Expansion Strengthens African Tungsten Supply

Nyakabingo has been active since the 1930s, making it a long-established tungsten operation with renewed strategic relevance. The current drilling campaign aims to extend the mine’s resource base and support future output growth.

This matters because tungsten supply chains remain narrow and strategically sensitive. Buyers in defence and advanced manufacturing need stable, traceable and qualified sources of tungsten-bearing material.

Trinity is expanding resources while scaling mining and processing capacity. That combination is important because additional reserves only create supply value if mining and processing systems can handle higher output.

The company is also positioning itself for downstream value addition. This reflects a wider shift in critical minerals, where producing countries and miners increasingly want to capture more value beyond raw concentrate.

Rwanda could benefit from that trend. Tin, tungsten and tantalum are all strategically important minerals, and Trinity’s operations give the country a stronger role in supply chains linked to electronics, industrial tools and defence materials.

Wolframite Processing Upgrade Reduces Scale-Up Risk

Trinity recently commissioned a 5 t/hr pilot plant to test an improved wolframite processing flowsheet. The pilot plant is intended to bridge the gap toward a planned 60 t/hr facility under study.

This step is commercially important. Processing performance will determine recovery, concentrate quality, operating costs and the ability to scale output reliably.

The company also installed a closed-loop water treatment system. That supports environmental management and could help improve operating resilience as mining and processing expand.

Trinity has an offtake agreement with US-based Global Tungsten & Powders, while Traxys handles deliveries. This gives the company an established route into international tungsten markets.

The offtake structure also links Rwanda’s tungsten output to western supply-chain security. Global Tungsten & Powders is a key downstream player, and its relationship with Trinity gives Nyakabingo additional strategic relevance.

Trinity’s broader portfolio includes tin and tantalum production from the Rutongo and Musha mines. Rutongo produces 40-70 t/month of tin, while Musha produces 30-40 t/month.

The expansion at Nyakabingo therefore fits a larger critical minerals platform. Trinity is not only developing tungsten. It is building a tin, tungsten and tantalum supply base with growing relevance to electronics, defence and industrial manufacturing.

The Metalnomist Commentary

Trinity’s drilling campaign shows that African tungsten supply could become more important as western buyers seek diversified sources. The real test will be whether Nyakabingo can convert deeper resources and pilot processing into reliable full-scale output.

CMOC Boosts Tungsten and Niobium Output in 2024

CMOC

CMOC, also known as Luoyang Luanchuan Molybdenum, a prominent Chinese diversified minerals producer, has reported increased production of both tungsten and niobium in 2024 compared to the previous year. This positive performance underscores the company's strong operational capabilities and its position in the global metals market.

Increased Tungsten Production Driven by Higher Recycling Rate

CMOC's tungsten production reached 8,288 tonnes of metal equivalent in 2024, a 4% increase year-on-year. The company attributed this growth to a higher recycling rate for hard-processing ores, demonstrating its commitment to resource optimization and efficiency.  As the second-largest tungsten concentrate producer in China, following China Minmetals, CMOC plays a vital role in the domestic and international tungsten supply chains.

Record-Breaking Ferro-Niobium Output

CMOC also achieved a record high in ferro-niobium production, with 10,024 tonnes of metal equivalent, a 5% increase compared to 2023. This achievement highlights the company's growing presence in the niobium market, a crucial metal used in various high-tech applications.

Diversified Portfolio

Beyond tungsten and niobium, CMOC's diversified portfolio includes the production and trading of molybdenum, copper, cobalt, and phosphate fertilizer. This broad range of products positions the company as a key player in the global minerals industry.

Xiamen Tungsten Expands NdFeB Magnet Production in Baotou

Xiamen Tungsten

First Phase Production Begins in Inner Mongolia

Chinese state-owned Xiamen Tungsten has officially started the first phase of production at its neodymium-iron-boron (NdFeB) magnet facility in Baotou, Inner Mongolia. Operated by its subsidiary Baotou Golden Dragon, the 5,000 t/yr facility required an investment of 460mn yuan ($64mn) and is projected to generate annual revenue of around Yn750mn.

The company has ambitious plans to scale output. A second phase, scheduled to be completed by the end of 2027, will add another 15,000 t/yr in capacity. Once the full 20,000 t/yr production is online, Xiamen Tungsten forecasts revenue reaching Yn4bn annually, highlighting the strong growth prospects for high-performance magnet materials.

Expanding Capacity Amid Rising Global Demand

Xiamen Tungsten already operates 12,000 t/yr of rough NdFeB magnet capacity at its Changting facility in Fujian province. The company has steadily expanded its magnet production to meet surging demand from wind turbines, consumer electronics, energy-saving motors, home appliances, and the rapidly growing electric vehicle (EV) sector.

In the first quarter of 2025, Xiamen Tungsten reported revenue of Yn8.38bn, up 1.3pc year on year, though profit fell by 8.5pc to Yn391mn. Its rare earths unit, however, performed strongly, with revenue up 46.4pc to Yn1.33bn and profit surging 65.1pc to Yn66mn. Sales of deep-processing magnetic materials climbed 49pc, driving revenue growth of 35pc in that segment.

The Metalnomist Commentary

Xiamen Tungsten’s decision to scale NdFeB magnet production underscores China’s determination to maintain dominance in the global rare earth and magnet supply chain. With demand rising sharply in EVs and renewable energy, Baotou’s expanded capacity will reinforce China’s strategic position. However, reliance on domestic expansion also highlights growing risks of overcapacity and pricing pressure in the magnet sector.

Zhangyuan Tungsten Sales Rise as Manufacturing Demand Supports Downstream Products

Zhangyuan Tungsten

Zhangyuan tungsten sales increased in 2025 as robust manufacturing demand lifted shipments of tungsten powder, tungsten carbide and cemented carbide products. The Chinese producer sold 4,928t of tungsten powder during the year, up 24% from 2024.

Zhangyuan tungsten sales also rose across higher-value downstream products. Tungsten carbide sales increased by 18% to 5,812t, while cemented carbide sales climbed by 20% to 1,363t.

Zhangyuan tungsten sales show that demand for cutting tools, industrial components and hard materials remained firm even as raw material prices corrected from record highs. The result highlights the importance of downstream tungsten products in China’s manufacturing supply chain.

Cemented carbide bar sales rose by 16% to 893t. Cemented carbide cutter sales also recovered strongly, reversing a 3% decline in the first half of 2025 to end the year up 22% at 27.11mn pieces.

Downstream Capacity Outpaces Internal Concentrate Supply

Zhangyuan has significant downstream tungsten capacity. The company has nameplate capacity of 12,000 t/yr of ammonium paratungstate, 15,000 t/yr of tungsten powder and 13,000 t/yr of tungsten carbide.

That scale makes the company a major consumer of tungsten raw materials. Its own tungsten concentrate output is not enough to meet internal demand, so it relies on external feedstock including APT and tungsten concentrate.

Zhangyuan produced 3,691t of tungsten concentrate in 2025, down slightly by 48t from a year earlier. This small decline reinforces the company’s dependence on purchased raw materials to support its downstream operations.

The operating structure matters because tungsten producers with strong downstream demand still face raw material exposure. Concentrate and APT availability can affect margins, procurement timing and product pricing.

Tungsten is strategically important for cemented carbide tools, drilling equipment, machining, aerospace, defence, electronics and high-performance industrial applications. Stronger sales from Zhangyuan therefore reflect continued demand from China’s manufacturing base.

Price Correction Slows Feedstock Buying After Record Highs

Zhangyuan lowered its term bidding price for 55% tungsten concentrate to 845,000 yuan/t for the second half of April, down from 930,000 yuan/t in the first half of the month. Its APT bidding range also fell to 1.35mn yuan/t from 1.44mn yuan/t.

The move reflected a wider correction in China’s tungsten market. Prices for 65% wolframite concentrate fell sharply after reaching record highs in March, while APT prices also declined over the same period.

Market participants reported limited spot deals and fewer term deliveries. Buyers slowed feedstock purchases because they expected further downward price corrections after the earlier price surge.

This creates a short-term tension in the tungsten chain. Downstream demand remains supported by manufacturing activity, but raw material buyers are cautious because prices moved too far too quickly.

For Zhangyuan, the key challenge is balancing strong downstream sales with disciplined feedstock procurement. If raw material prices continue to fall, margins may improve for processors that avoid overbuying at peak levels.

The broader market signal is clear. Tungsten demand remains industrially strong, but price volatility can disrupt buying behaviour across the concentrate, APT, powder and carbide chain.

The Metalnomist Commentary

Zhangyuan’s results show that China’s tungsten demand is being driven by downstream manufacturing, not only raw material speculation. The price correction may cool feedstock buying, but cemented carbide and cutting tool demand still point to tungsten’s strategic role in industrial production.

Acute Tungsten Shortage Drives Record Prices Across Global Supply Chains

Tungsten

The acute tungsten shortage is pushing global tungsten prices to record highs in 2026. Supply remains extremely tight across concentrate, APT, and downstream products. Low inventories and restricted Chinese export licences are worsening the squeeze. As a result, the acute tungsten shortage is becoming one of the most severe specialty metals disruptions in the market.

The current problem starts at the raw material level. Global production of tungsten concentrates has declined, while available western supply remains far below demand. Market participants now describe an estimated shortfall of around 13,000t of contained tungsten in the western market. Therefore, the acute tungsten shortage is no longer a regional issue. It is a structural supply crisis.

Pricing shows how quickly the market has tightened. Tungsten concentrate prices in Rotterdam surged to record levels in late January. European APT prices also climbed sharply as concentrate costs and export restrictions combined. Consequently, global tungsten prices are rising across the entire value chain.

Chinese Supply Constraints Are Tightening the Tungsten Concentrate Shortage

Chinese supply constraints remain the core driver of the tungsten concentrate shortage. China produces about 80pc of global tungsten supply and still dominates export availability. However, domestic ore shortages have intensified after mine shutdowns and weak new project development. Meanwhile, China’s 2025 mining quota fell from the previous year.

Trade data reinforces that tightening pattern. Chinese exports of tungsten concentrate declined sharply in 2025, while Chinese imports rose strongly. That means even China is pulling in more raw material to support its own processing base. As a result, less material is reaching overseas buyers.

APT export licences have added another bottleneck. Western customers may secure limited licences, but actual shipment still depends on concentrate availability. That creates a second layer of uncertainty on top of already weak feedstock supply. Therefore, the tungsten concentrate shortage is now feeding directly into delayed APT deliveries and higher prices.

Consumers are also paying much more for feedstock. Payables for concentrate have risen sharply as buyers compete for scarce supply. That shift reflects a market where sellers hold stronger leverage and buyers have fewer alternatives. Consequently, procurement conditions are becoming more difficult even for experienced consumers.

Japan and Europe Face Growing Pressure as Recycling Lags Demand

Japan and Europe are now feeling the full pressure of the acute tungsten shortage. Europe faces critically tight APT availability because it depends heavily on Chinese supply and licensing. Japan faces similar pressure after new Chinese restrictions on dual-use exports added more uncertainty. Therefore, both regions are competing harder for a smaller pool of material.

Japan’s position is especially sensitive. The country has no domestic tungsten mining base and depends heavily on imported tungsten products. Buyers are now seeking tungsten-containing scrap, but that market is also tight. As a result, recycling cannot yet solve the immediate supply problem.

Recycling capacity may grow, but it will take time. Japan is expanding tungsten recycling capability in response to lower Chinese exports. However, significant new output will not arrive quickly. Meanwhile, downstream consumers still need metal today, not years from now.

This means the market will likely remain strained for some time. Concentrate shortages, limited export licences, and weak scrap availability are all reinforcing one another. Therefore, the acute tungsten shortage is likely to keep global tungsten prices elevated unless primary supply improves materially.

The Metalnomist Commentary

Tungsten is now showing how vulnerable specialty metal supply chains become when one country dominates both mining and exports. This market is not just tight. It is structurally exposed. Unless new western supply or faster recycling emerges, tungsten buyers may face prolonged price pressure and continued allocation risk.

China Tungsten Exports Resume in Europe with Limited Volumes

China Tungsten

China tungsten exports restarted in European markets for the first time since February stoppages, though shipment volumes remain constrained at maximum 1 tonne per delivery. The resumption of China tungsten exports follows months of supply disruption caused by Chinese export controls announced February 4th, creating acute shortages for US and European buyers dependent on tungsten ingots for defense and industrial applications.

Small-Scale Shipments Signal Cautious Market Re-entry

China tungsten exports currently originate primarily from smaller state-owned manufacturers rather than major producers. Market sources report receiving new shipments in Rotterdam while additional material remains in transit to European destinations. However, volumes stay extremely limited compared to pre-control periods, reflecting continued regulatory uncertainty and cautious export policies from Chinese suppliers.

Meanwhile, delivery timelines extend significantly with current orders potentially shipping in July for immediate purchases. Traders quote current prices at $56 per kilogram on a cost-insurance-freight basis, representing substantial increases from historical levels. The extended lead times demonstrate supply chain disruptions that persist despite the resumption of limited export activities.

Export Controls Create Ongoing Market Uncertainty

However, tungsten metal products face complex regulatory environments despite not appearing on initial dual-use licensing lists. While other tungsten products required explicit export licenses from February 4th, tungsten ingots experienced de facto export halts through administrative restrictions. This regulatory ambiguity creates persistent uncertainty for international buyers seeking reliable supply sources.

Therefore, US and European buyers continue struggling to secure sufficient alternative tungsten sources outside Chinese production. The global tungsten market's dependence on Chinese suppliers becomes evident through months of supply shortages following export control implementation. Alternative sourcing efforts prove inadequate for meeting industrial demand requirements across defense and manufacturing sectors.

Tight European Market Maintains Price Pressure

Furthermore, European tungsten markets remain extremely tight with minimal warehouse inventory available for immediate delivery. Limited stock levels mean small resumptions in Chinese exports cannot immediately relieve price pressures or supply constraints. Market participants describe conditions as "total lottery" scenarios where securing tungsten ingots depends largely on timing and supplier relationships.

As a result, prompt tungsten prices maintain elevated levels despite the resumption of small-scale Chinese shipments. The constrained supply environment supports premium pricing while buyers compete for limited available material. Industrial consumers face continued procurement challenges that affect production planning and cost structures across tungsten-dependent manufacturing sectors.

The Metalnomist Commentary

China's limited tungsten export resumption highlights the persistent vulnerability of global supply chains dependent on single-source suppliers for critical materials, particularly when geopolitical tensions influence trade policies. The constrained volumes and regulatory uncertainty demonstrate how export controls can fundamentally reshape commodity markets, forcing Western buyers to reassess supply security strategies for defense-critical materials like tungsten.

Japan Tungsten Plant to Cut Sumitomo Electric’s Reliance on China

Sumitomo Electric

Japan tungsten plant investment by Sumitomo Electric Industries will expand domestic tungsten powder capacity and strengthen Japan’s critical mineral supply chain. The company plans to build a new facility in Toyama city with about ¥15.9bn, or $100mn, in investment.

The new plant will be operated by group company Allied Material and is scheduled to start operations in the first half of fiscal 2028. Sumitomo Electric said the project will expand its tungsten supply capacity by around 50%.

Japan tungsten plant development matters because tungsten is essential for cemented carbide cutting tools, semiconductors, electronic components and advanced industrial manufacturing. The investment also reflects Tokyo’s wider effort to reduce exposure to China-dominated critical material supply chains.

Tungsten Powder Capacity Supports High-End Manufacturing

The Toyama facility will expand production capacity for tungsten powder near Sumitomo Electric’s existing plant. The company has not yet disclosed the precise capacity of the new line.

Tungsten powder is a key input for cemented carbide tools used in metal cutting and precision machining. These tools support automotive, aerospace, electronics, machinery and industrial equipment production.

The material also has strategic relevance in semiconductors and electronic components. This makes tungsten more than a tooling metal; it is part of the materials base behind advanced manufacturing and technology supply chains.

Japan Backs Domestic Recycling and Supply Security

The Japanese government will cover about ¥7.5bn of the investment through a subsidy aimed at securing critical mineral supply chains. This public support shows that tungsten is now treated as a strategic industrial material.

Global tungsten supply remains heavily dependent on China. Sumitomo Electric said it currently relies on China for about 30% of its tungsten imports.

The new Japan tungsten plant will help the company strengthen its domestic recycling system and gradually reduce that dependence. Recycling will be especially important because secondary tungsten can improve supply resilience without relying only on new mined material.

The Metalnomist Commentary

Sumitomo Electric’s investment shows that tungsten security is becoming a manufacturing competitiveness issue. Japan is not only adding capacity; it is building a recycling-backed buffer for cutting tools, semiconductors and advanced components.

Nevada tungsten project secures $6.2mn DOD funding

Nevada tungsten

Golden Metal Resources won $6.2mn for the Pilot Mountain site in Nevada. The Nevada tungsten project received Defense Production Act Title III funding. The Nevada tungsten project will complete a pre-feasibility study under the award. Therefore, the Nevada tungsten project advances US critical minerals strategy.

Why the funding matters

The DOD views tungsten as a critical and strategic priority. No commercial tungsten production exists in the US today. Therefore, Pilot Mountain could reduce import reliance if commercialized. The award is one of eight DPA approvals this year. It is the third tungsten sourcing award since 2024. Golden Metal Resources is a unit of Guardian Metal Resources.

Strategic implications for supply chains

China produced 83pc of global tungsten in 2024. Beijing also applied export controls in February. As a result, diversifying supply is a national priority. The project supports aerospace and defense alloy production. Downstream users include jet engines, electronics, and precision munitions.

The Metalnomist Commentary

DPA funding de-risks early studies and tightens links to defense demand. Watch PFS scope, permitting, and offtake formation, which will gauge bankability. If progress holds, Pilot Mountain could anchor a domestic tungsten chain.

China’s policies are reshaping the global tungsten market

International Tungsten Industry Association

China’s tightening controls are fundamentally reshaping the global tungsten market and forcing buyers to rethink supply strategies. The global tungsten market now faces record prices, acute shortages outside China and rising geopolitical risk. As a result, investors and consumers across the global tungsten market are reassessing where to source and where to deploy capital.

China’s export controls on ammonium paratungstate (APT) and tungsten trioxide have sharply reduced export availability. At the same time, China’s surging appetite for tungsten concentrates has deepened shortages in Europe and other consuming regions. Therefore, tungsten prices have climbed to record levels in both APT and concentrate markets.

Meanwhile, import data show that China has become an aggressive buyer of concentrates, with first-half 2025 imports up 75pc year on year. This shift has pushed European and Japanese buyers to pursue alternative strategies, including buying concentrates instead of APT and intensifying recycling and non-Chinese partnerships.

Supply shock exposes vulnerabilities in the global tungsten market

China accounts for roughly 80pc of global APT supply and is now exporting far less material. Since Beijing expanded its export licence regime in February, APT exports dropped by 42pc in January-June 2025 versus a year earlier. Similarly, exports of tungsten trioxide fell by 76pc, leaving European consumers scrambling for units.

As a result, European APT prices have surged to fresh highs of $580–645/mtu duty unpaid Rotterdam. This represents a roughly 20pc increase since the start of the year and a jump from $550–600/mtu only days earlier. European tungsten concentrate prices have followed, rising to $500–520/dmtu in-warehouse Rotterdam, up nearly 30pc year on year.

Consequently, downstream consumers and midstream processors are re-engineering their sourcing models. Buyers are shifting from APT to concentrates where possible and are strengthening ties with alternative suppliers such as Vietnam. Meanwhile, Japanese buyers are boosting recycling rates and deepening co-operation with smelters in Germany and the US to reduce exposure to China.

However, traders find themselves squeezed as limited material flows directly to end users. Many trading houses are sidelined in spot activity and instead look to position themselves with long-term strategies and optionality. This structural shift underlines how fragile and concentrated current tungsten supply chains remain.

Uncertain outlook complicates investment in non-Chinese tungsten projects

On paper, today’s high prices and tightness strongly support new western tungsten projects. Yet equity and debt investors remain wary about whether current conditions in the global tungsten market are durable. Many tungsten mining projects are years from production, and investors fear that a shift in Chinese policy could quickly loosen fundamentals.

Geopolitics further clouds the investment case. The evolving US-China trade conflict and Europe’s position “in the middle” both influence tungsten flows but do not offer clear long-term signals. The US is accelerating efforts to secure domestic supply and support new mines, while Europe is also expected to attract investment as it seeks strategic autonomy. Still, long-term policy direction remains uncertain.

At the same time, Chinese producers stress that tightness reflects genuine domestic demand, not a short-term export tactic. China’s industrial strategy has moved from low-cost manufacturing toward high-value sectors such as photovoltaics. Forecasts suggest tungsten-wire demand from the PV sector could grow 40–50pc annually over the next five years, requiring around 8,000t of tungsten by 2027.

Therefore, it appears unlikely that China will import large volumes of concentrates only to flood European markets later. While China clearly has the ability to do so, conference participants see that scenario as implausible given the strength of its internal consumption. For now, the base case is high but stabilising prices, with the next few months likely to shape long-term procurement and investment decisions.

The Metalnomist Commentary

China’s gradual pivot from “world’s tungsten factory” to voracious downstream consumer is forcing a structural repricing of risk. For miners and financiers outside China, the challenge is to move before the window closes, yet not overbuild into a market still governed by Beijing’s policy choices. Buyers who secure diversified, traceable tungsten supply now may find that this period of pain ultimately buys them strategic resilience.

Pioneer Minerals Springfield Tungsten Project Targets US Critical Minerals Supply

Pioneer Minerals

Pioneer Minerals Springfield tungsten project development has advanced after the Australian critical minerals explorer signed a non-binding MOU with Mineral Technologies to assess tungsten processing in Idaho. The agreement will evaluate whether tungsten concentrate can be commercially produced from ore and tailings at the site.

The Pioneer Minerals Springfield tungsten project could offer a near-term staged pathway to production if processing tests confirm viable recovery. The work will focus on technical programmes designed to assess mineral processing, concentrate quality and project development potential.

The Pioneer Minerals Springfield tungsten project is strategically relevant because US tungsten supply has tightened following Chinese export controls introduced in February 2025. Tungsten remains essential for defense, aerospace, electronics, cutting tools, hard metals and other high-performance industrial applications.

Tungsten Processing Tests Could Unlock Ore and Tailings Value

Pioneer Minerals and Mineral Technologies will assess the feasibility of producing tungsten concentrate from both ore and tailings at Springfield. This approach could improve project economics by recovering value from previously mined or stockpiled material.

Tailings recovery is especially important in critical minerals because it can reduce development timelines, lower mining intensity and make use of material already available at the site. If successful, it could support a faster route to domestic tungsten supply than a conventional greenfield mine.

The companies will also evaluate gallium mineralisation and potential recovery at the site. Gallium adds strategic value because it is used in semiconductors, optics, defense systems and advanced electronics, while non-China supply remains limited.

China Controls Raise US Tungsten Security Concerns

China remains the dominant tungsten producer, accounting for about 79% of global mined output in 2025. Its export controls, combined with declining ore grades, have increased pressure on US supply chains.

The US Geological Survey has identified tungsten as essential for economic and national security, and the metal remains on the US critical minerals list. This status could strengthen the case for government support as Pioneer prepares funding applications for domestic critical mineral production.

Pioneer’s plan fits Washington’s broader effort to rebuild critical minerals capacity through mining, processing, recycling and advanced materials projects. The main challenge will be converting technical studies into a reliable concentrate supply route that can meet industrial and defense specifications.

The Metalnomist Commentary

Pioneer’s Springfield project shows how tungsten security is becoming a processing and recovery challenge, not only a mining issue. If ore, tailings and gallium recovery can be integrated, the site could become a small but strategically useful addition to the US critical minerals chain.

Almonty Montana tungsten project strengthens US critical minerals supply

Almonty Industries

Almonty Montana tungsten project will strengthen US tungsten supply as the company acquires Gentung Browns Lake in Montana. The asset ranks among the most advanced undeveloped US tungsten projects, according to Almonty Industries. As a result, the deal positions Almonty as a key North American tungsten concentrate supplier.

Strategic acquisition terms and project timeline

Almonty Industries will acquire Gentung Browns Lake for $9.75mn in a combined cash and share transaction. The package includes $750,000 in cash and $9mn in Almonty shares, aligning seller incentives with long-term project success. However, the relatively modest entry cost underscores the value upside if tungsten prices tighten.

Almonty expects production at the Almonty Montana tungsten project could begin as early as the second half of 2026. This timing would place new US tungsten output into the market amid ongoing concerns about Chinese supply dominance. Therefore, the project fits broader US and allied efforts to diversify strategic metals sourcing.

Permits, infrastructure and processing advantages

The acquisition also includes plant permits, water rights and tungsten processing equipment from a Montana-based operator. These assets shorten the development timeline and can lower initial capital intensity for the Almonty Montana tungsten project. Meanwhile, existing permits reduce early-stage regulatory risk, always a critical factor for US mining projects.

Almonty plans to use the acquired equipment to process ore from Gentung Browns Lake once mining starts. Integrating permits, water rights and processing infrastructure allows a more streamlined ramp-up path. As a result, the project can move faster from feasibility work to cash-generating tungsten concentrate production.

The Metalnomist Commentary

This move confirms Almonty’s strategy to build a multi-asset tungsten portfolio anchored in OECD jurisdictions. For the US, incremental output from Montana will not replace Chinese supply, but it will matter for defense and high-performance alloy chains. Investors should watch how Almonty sequences capex and offtake deals as tungsten regains attention as a strategic metal.

Tungsten West Requires $93M to Restart Hemerdon Mine Amid Supply Crunch

Tungsten West

UK Miner Seeks Financing as Global Tungsten Prices Surge

Tungsten West requires $93M to restart Hemerdon mine, targeting a 2026 relaunch amid tightening global tungsten supplies. The UK-based company detailed its plans to recommence production at the Hemerdon site in Devon, home to the world’s third-largest tungsten deposit. The total estimated cost excludes financing charges, with the company aiming to secure funding by the end of 2025.

Tungsten West is currently in talks with government-backed agencies in the UK, US, and EU, alongside specialist mining investors, tungsten intermediaries, and end-users. The mine is projected to produce 332,000 metric tonne units (mtu) of tungsten trioxide and 462 tonnes of tin annually over an initial 11-year span, with an additional four years of processing stockpiled material. Although the project was originally slated to restart in 2021, inflation and permitting delays pushed the timeline back.

Supply Shortages and Chinese Export Restrictions Drive Urgency

The decision comes amid tightening global tungsten supply, with prices sharply rising in response to falling inventories and limited Chinese exports. Since February, Beijing has expanded export licence requirements, further restricting global access to tungsten. As a result, European tungsten concentrate prices surged this week to $330–350/dmtu, up over 30% from January’s $260–270/dmtu levels—marking the highest since the benchmark’s inception in 2017.

Meanwhile, European APT prices climbed to $410–430/dmtu, with critically low stockpiles exacerbating upward pressure. As Tungsten West requires $93M to restart Hemerdon mine, the company positions itself as a vital alternative source for downstream consumers increasingly exposed to price volatility and supply chain risk.

The Metalnomist Commentary

Tungsten West’s financing push is timely and strategically critical. With China tightening control over exports and European inventories dwindling, the Hemerdon mine could become a cornerstone in rebalancing Western tungsten supply chains—if capital is secured before market constraints worsen.