Tungsten Ore Supply Tightening Can Not Be Changed

Chinese tungsten prices have broken through the 122,000 yuan per tonne mark, due to tightening supply at the mining end. Although current demand for tungsten is less than expected, the trend for ever-tightening supply at the mining end is expected to lead to a rise in tungsten prices in the long term. The field of cemented carbide, particularly high-end, CNC cutting tools is expected to benefit from the "national replacement" process, with new opportunities for development anticipated. Despite the recent price increase, it is difficult to change the tightening supply of ore as China's tungsten production is strictly controlled due to its rarity and strategic significance. Analysts predict that the tungsten concentrate gap will continue to widen in the coming years, leading to further price increases.