About Tungsten

Processing and capital can make the tungsten market a tough place to be, but dwindling supply and insubstantial production indicate a coming price swing. 

Tungsten ranked second behind rare earths in the British Geological Survey's 2012 supply risk index based on a number of factors like location and concentration of production and reserves, but the report highlighted that tungsten (as well as rare earths) has lower recycling and low substitutability.

The supply risk for tungsten stems from China's role in the industry. China accounts for approximately 83% of global tungsten concentrate production and about 62% of global tungsten reserves. China became a significant player in tungsten production in the mid-1980s.

By the late 1990s, it had flooded the global market with tungsten causing concentrate prices to plunge below most western producer's variable cost. As a result, the vast majority of western mines were closed.

With low tungsten prices, there was very little investment in new tungsten projects in the past 20-plus years. Given that only a handful of tungsten mines operated without significant interruptions, technical experience in the Western world has essentially evaporated.

Therefore, finding a team with experience working with tungsten is a significant barrier to entry. 

Tungsten Manufacturer & Supplier: Chinatungsten Online - http://www.chinatungsten.com
Tel.: 86 592 5129696; Fax: 86 592 5129797
Email:  sales@chinatungsten.com
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Tungsten News & Tungsten Prices, 3G Version: http://3g.chinatungsten.com

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