China Tungsten Prices Remain Weak Amid Supply-Demand Imbalance and U.S. Tariff Impact

Analysis of latest tungsten market from Chinatungsten Online

China tungsten prices generally exhibited a weak adjustment trend in the week ended on Saturday, September 14, 2024. 

Buyers had slightly more bargaining power, but the increase was limited as sellers remained rational in profit-taking, leaving little room for market adjustment. Downstream customers continued to show a lack of enthusiasm in procurement, and transactions were mainly driven by immediate demand.

High-grade tungsten concentrate prices remained at around $19,857.1/ton. Although lower offers in the market were more flexible in transactions, concerns over tight resource supply kept sellers from offering significant discounts.

Ammonium paratungstate (APT) prices remained stable at approximately $493.9/mtu. The stability in the primary tungsten market provided some cost support, but persistent weak demand continued to weigh on traders' sentiment, resulting in a subdued overall trading atmosphere.

Tungsten powder prices consolidated around $44.3/kg, while tungsten carbide powder prices held steady at approximately $43.6/kg. Traders adopted a cautious approach, with matching supply and demand remaining challenging, though some actual orders were open for negotiation.

The price of ferrotungsten (70%) stayed stable at the $30,000.0/ton mark. The raw material market saw a tug-of-war between supply and demand, and downstream steel mills maintained cautious procurement strategies, leading to moderate trading activity.

In the waste tungsten market, sentiment remained relatively weak throughout the week. Low-priced resources became more prevalent, but the willingness to take on inventory did not increase significantly, with many traders adopting a wait-and-see approach, putting pressure on the overall market.

Looking ahead, with the quota restrictions on concentrate supply, stricter environmental and safety requirements for smelters, and rising price pressures in a global inflationary environment, raw material supply chain risks and cost support are expected to provide a solid foundation for stable tungsten product prices. However, there are many uncertain risks on the demand side, including domestic and international economic conditions, political environments, government macro-control measures, capital market trends, and extreme weather events. All of these could alter the industry's supply-demand structure, affect market sentiment, and cause fluctuations in the tungsten market.

On the news front, the U.S. Trade Representative (USTR) recently updated the details of Section 301 tariffs on Chinese goods. The list of tungsten products subject to tariffs, in addition to those announced in May—such as tungsten concentrate, tungsten oxide, ammonium tungstate, tungsten carbide, and tungsten powder—now includes unwrought tungsten (including simply sintered bars and rods), tungsten bars, rods, profiles, and other tungsten products like plates, sheets, strips, and foils. The tariff rate for these tungsten products will be raised to 25%, with the new duties set to take effect on September 27, 2024.

Prices of tungsten products on September 18, 2024

Picture of tungsten stream mouth 

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

• < Prev
• Next >