China’s Tungsten Price Rose in the First Three Quarters of 2023

Details: Category: Tungsten's News; Published on Saturday, 07 October 2023 18:14

Analysis of latest tungsten market from Chinatungsten Online

The Chinese tungsten market has shown a trend of volatility and consolidation in prices in the first three quarters of 2023. The overall tungsten price has shifted upward, but the adjustment range has been limited. This is mainly due to an ongoing tug-of-war between market cost factors and supply and demand dynamics.

Initially, industry players had high expectations for economic recovery post-pandemic. However, the actual demand for tungsten products in the weak economic recovery trend throughout the year has been lower than expected, which has impacted trader confidence. Additionally, the implementation of intentions to support prices in the tungsten raw material sector has also faced limitations.

In September, the tungsten market experienced a situation of stagnation and weak stability in pricing. Market trading sentiment was constrained by demand factors, and the stocking situation across various segments of the supply chain before the Mid-Autumn Festival and National Day holidays was below expectations. On the supply side, the reluctance of mining companies to release stocks and the cautious low operating rates of smelters have kept tungsten market resources relatively controlled. The overall fundamentals have maintained a weak equilibrium, with limited actual trading and a wait-and-see attitude towards post-holiday consumption progress.

According to data from the National Bureau of Statistics, in August 2023, profits of China's industrial enterprises above a certain scale increased by 17.2% year-on-year. This marked the first positive growth in monthly industrial enterprise profits since the second half of last year. From January to August, profits of industrial enterprises above a certain scale decreased by 11.7% year-on-year, with a 3.8 percentage point narrowing of the decline compared to the period from January to July. This indicates a noticeable acceleration in the recovery of industrial profits.

Prices of tungsten products on October 7, 2023

Chinese tungsten price image