Core tips: tungsten products prices move up constantly, downstream traders are confused how to make next move. The situation of ‘high price but low demand’ intensifies drastically in tungsten product market.

Tungsten miners in China hold confused attitude that only tungsten products prices go up, transaction volume cannot be pushed up relatively. Generally, it is hard to make a deal in tungsten ore market. As to relate tungsten products, demand of ammonium paratungstate (APT) is still very low. It is hard for suppliers to receive order from end user that many factory owners choose to stop producing. Ferrotungsten, which is affected by high purchasing cost, increase its price relatively. The transaction price of ferrotungsten reaches ￥181,000.00/t. Chinatungsten Online expected that general situation of tungsten products market is steady, some of them has slightly change, which is led by guiding tungsten product price. 

Owing to the guiding prices, the APT suppliers hold offers firm and even raise APT prices slightly. But as the downstream customers are inactive in purchasing the materials, the APT market is still quiet this week.

One of APT suppliers based in Jiangxi, whose regular capacity is around 300 tons per months, noted that they are out of production now and they have no intention in resuming production in a short time owing to the unfavorable future market. The source revealed that the APT prices are around RMB176,000-178,000/t (USD316-319/mtu) now, and some offers are even higher. But only a few deals are concluded in small quantities.

The source told Chinatungsten Online that only some major buyers collect materials for pushing up prices, but downstream consumers refuse to accept the current price. Owing to the weak demand, it is unlikely for the APT prices to move up sharply in a short time. The source added that they will hold offers firm and watch the market for a while.

An end-user for APT in Fujian noted that they receive offers for APT at RMB176,000-178,000/t (USD316-319/mtu) this week, and some offers even move up to around RMB179,000-180,000/t (USD321-323/mtu). He added that they have some stocks in hand, and they have no intention in adding stocks in a hurry.

The source stated that the APT offers are chaotic in the spot market, and most of the APT suppliers hold offers firm and intend to increase prices. But as the demand from the domestic and overseas markets does not pick up, the APT prices are hard to increase to the guiding prices level. Furthermore, many downstream customers watch the market for a while, and the trading volume will keep small in the near future.

The mainstream scrap tungsten price maintains steady. The transaction price excluding tax of bit concentrates on ￥187.00-￥191.00/kg, domestic blade is ￥172.00-￥176.00/kg, imported blade is ￥182-186/kg; scrap pure tungsten block is ￥208.00-￥213.00/kg.

The price of the content of scrap tungsten grinding material which is more than 70W is ￥1330.00/mtu, 50W-70W is ￥1270.00/mtu, 30W-40W is ￥1110.00/mtu. The scrap tungsten prices above are steady. 10W-20W tungsten unit to ￥635.00/mtu while 8W-10W tungsten to ￥571.00/mtu.

Tungsten ore price goes up constantly under the strong willing to increase of providers. However, most tungsten ore providers cannot find properly consumers which means higher risk of tungsten ore price decreasing. Under the situation of weak demand and supply, it is difficult for scrap tungsten suppliers to break out current steadiness. Chinatungsten Online expects that scrap tungsten price will keep stable in short term.

In the international market, mainly oversea tungsten market price keeps stable as usual. By the night of 7th, the guiding price of MB ferrotungsten in warehouse Rotterdam maintains $42.75-43.50 per kilogram tungsten; the quotation of ammonium paratungstate keeps $304.00-330.00 metric tones unit.

Today tungsten ore price in China increases again. The quotation of 65W tungsten concentrate based on Ganzhou, Hunan focus on ￥115,000.00-118,000.00 per metric ton based on Ganzhou, Hunan, individuals has moved up to over ￥120,000.00 per metric ton scheelite concentrate mainstream quotation concentrates on ￥112,000.00-115,000.00 per metric ton.

According to the observation of Chinatungsten Online, tungsten ore market still at a loss that purchasing price is high while shipment is low. Insiders from Chinatungsten Online notes, under impact of guiding tungsten ore price and trader’s willing, tungsten ore suppliers will insist to increase tungsten ore price drastically.