Tungsten market has experienced long term price volatility and in the July 28 it hits the largest one-day gain in the history. In the China mainstream region the smelting enterprises APT offer is asbout 110,000RMB/ton. Compared to yesterday offer, the price goes up ¥ 5,000 for each ton.

According to related news, the main reasons for APT prices increasing are short in supply. Due to tungsten market in the off-season, tungsten raw material price continues to decline, resulting in tungsten mine serious loss, so some mainstream mines are reluctance to sale. Besides, with trade finance flows into, the mines strengthen their decision of limiting production. The tungsten raw material suppliers also has high spirit on increasing price, so on this basis their raised tungsten raw material price, resulting in tight supply of raw materials. In the short term, tungsten concentrate prices rose to ¥ 10,000 for each mtu.

In the late July, the tungsten market continued to rise slightly. When the increase range is slowed, the Chinese State Council Environmental Protection Inspectorate stepped up inspection of the mine, where the first batch of inspection provinces includes Jiangxi. Jiangxi tungsten concentrate production accounting for 35% of country and APT accounting for 50%, affected by the environmental inspection, Jiangxi dozens of tungsten ore processing enterprises are discontinued, exacerbated tungsten raw materials market supply, so that APT and tungsten concentrate prices have risen sharply.

Faced with tungsten raw materials rising, the procurement market showed positive response to this situation. While it is difficult to accept smelting enterprises substantially price adjustment, but they basically agree with the current tight supply situation. Current market inquiry, APT is 110,000 RMB / ton. After SMM survey found, limited market spot basic at 110,000.00 RMB/ ton, but there is room for negotiation.

Integrated throughout the market situation, the tungsten raw material shorts in supply and manufacturers have high spirit on increasing price, so tungsten prices will continue to rise in the short term. Currently, tungsten concentrate price is more than 70,000 RMB /mtu and APT is about 110,000 RMB / ton.

Resently, one foreign company raised £1.1mln to fund this push into tungsten carbide parts-related technologies.
The funds were earmarked for the  acquisition of a maker of plastic-moulded products where Versarien will use carbide parts to enhancing an existing range plastic moulded products.
Existing Versarien shareholders Henderson Global Investors and Miton Asset Management both had stakes of more than 10% in the company to be acquired, which makes it a related deal under AIM rules.

Having grown and diversified in recent years from being solely a producer of hard-wearing tungsten carbide parts, used in engineering for extreme environments such as offshore oil and gas installations, the company currently has three units. Hard Wear Products, which has traditionally for aerospace companys.
The thermal division produces disruptive cooling technology (a conductive copper foam) for electronic engineering. Customers include General Motors, Google, and thermal imaging specialist FLIR.
Versarien’s 2 Dimensional Products division, meanwhile, is the source of much recent excitement.

This is the business is focused on the production of the so-called ‘wonder material’ carbide parts. "With the 2 Dimensional Products it was very much an embryonic business when we took it on," someone said.
And they are seen that now become a proper manufacturing method, it has got its patent, and it is approved out in the US.
“They have had some very good enquiries from very large international companies.
“They now need to continue to develop our production capacity, and to really capitalise on our investments in terms of getting commercial traction.”

The 2016 trading year has seen a strong of partnerships for foreign company in areas where tungsten carbide parts can make a significant improvement to an existing product.
In June, it teamed up with highly regarded Airbus supplier CT Engineering to develop a new range of aerospace components using tungsten carbide parts.
A deal with Absolute Engineering will explore novel technologies for the printing industry, including carbide enhanced composites.
Perhaps most high profile deal in May saw it start work with winter sports olympian Kristan Bromley to develop a range of carbide-enhanced skeleton boards for the Winter games in 2018.

In the first half of 2016, world economic growth is lower than the expected, and the recovery power of mining is failure. Due to the further promote of China's economic transition and the shift of overall economic growth, major minerals demand and production scale collective decline.

During January and May in 2016, the fixed assets investment had a 9.6 percent increase from the same period last year, the growth rate hit a new low since 2016. At the same time, international competitiveness of "Made in China" is declining, so export volumes tend to decline, from January to May the national export is 5.3 trillion RMB, which declined by 1.8% year-on-year. Coupled with the domestic tungsten heater and other tungsten products are in the long-term state of overcapacity, resulting in the decreased demand for tungsten products, the domestic tungsten market fall into a recession. It is reported that, the mining industry profits decline substantially. During January and May in 2016, the national mining industry profit is 6.66 billion RMB, which declined by 94.0% year-on-year. Especially for the United States,, after the crisis, its consumption of energy, iron and steel, copper, aluminum, lead and zinc are in secular stagnation.

At present, China has begun to enter the later stages of industrialization, in the dual role of the shift of economic growth and structural adjustment, the future economic would suffer much pressure for a long period. China is the biggest country for the tungsten resource in the world, which is also the world's largest tungsten producer and exporter. But tungsten resources are strategic resources, in order to protect the security of resources, China needs to formulate baseline indicators in accordance with different resources, different times, different circumstances, which relying on technological innovation and institutional innovation, and strive to improve the efficiency of resource use.