China Tungsten Market Is Expected to Stabilize in April

Analysis of latest tungsten market from Chinatungsten Online

China tungsten prices were unchanged from the previous trading day on Wednesday April 10. The market confidence is an important factor determining the short-term demand. At present, thin market trading shows relatively negative sentiment of dealers. If the supply of raw materials and production costs keep steady, mainstream tungsten product prices would not be adjusted largely.

Recently, the tax reform in April and the inventory in Fanya Mental have weakened confidence of the demand side. Purchasers expect low buying prices, plus with increased operating rate in mines after the end of Chinese Two Sessions, manufacturers face difficulty in sales. After the decline in new guide prices from large companies early April, tungsten prices also edge lower.

However, the expected tightness of raw materials at home and abroad raises sellers’ strong rised mentality. Judging from the recent trading, although the intention to sell tungsten concentrates has increased, profit margins are limited. 

Some mines are difficult to recover from the suspension of production in foreign countries. Strategic stockpile of the United States, Russia and other countries have continued to decline; while production of Chinese tungsten mines are also decreasing under the condition of declining or even depleted resource grades, as well as pressure of environmental protection, tax and cost burden, according to the data released by China Tungsten Industry Association. These factors would be conducive to the long-term stability of the supply and demand of tungsten market. 

On the whole, the direct factors that dominate domestic tungsten market are still the relationship between supply and demand, and price competition of traders. At present, market participants have different views on the outlook and release different offer levels. The short-term tungsten market is expected to stabilize. 

Prices of tungsten products on Apr. 11, 2019

Picture of tungsten powder 

Follow our WeChat to know the latest tungsten price, information and market analysis.

• < Prev
• Next >