Tungsten Market Fluctuated Rangebound Before the Holiday, with Improved Transactions in the Powder Segment [SMM Tungsten Daily Review]

SMM September 29

China's tungsten market mainly fluctuated rangebound today. As the previous industry inventory clearance concluded, market transactions trended mediocre. The tungsten concentrate market primarily executed long-term contracts, with a small number of mines selling spot orders, and transaction prices mostly followed the market. Profits for downstream APT enterprises improved compared to the previous period, with enterprises mainly maintaining long-term contract deliveries; mainstream transaction prices concentrated at 390,000-395,000 yuan/mt. Driven by restocking demand from terminal hard alloy enterprises, orders for powder enterprises recently improved somewhat. However, dragged down by the raw material market, transaction prices decreased compared to the previous period.

Mine End: As of September 29, SMM black tungsten concentrate (65%) closed at 270,000-271,000 yuan/mtu, flat from the previous trading day. Market transactions were scarce. It was reported that a mine in Henan sold via tender at a price of 4,220 yuan/mtu, slightly higher than the market price. Downstream wait-and-see sentiment was strong, and purchase willingness was poor.

Ammonium Paratungstate: Today, SMM ammonium paratungstate (≥88.5%) was quoted at 390,000-395,000 yuan/mt, down 2,500 yuan/mt from the previous trading day. Pre-holiday APT market transactions were scarce, with prices hovering around the 390,000 yuan industry long-term contract price. Downstream powder plants mainly restocked based on rigid demand, and the typical pre-long holiday restocking peak season did not materialize this year. The overseas tungsten market operated steadily. As of today, European APT was at $580-650/mtu, equivalent to 365,600-409,700 yuan/mt. The price spread between domestic and overseas markets continued to narrow. Approaching the National Day holiday, restocking demand from hard alloy enterprises based on rigid demand increased, and recent industry transactions improved somewhat. However, suppressed by pessimistic sentiment in the raw material end, powder transaction prices experienced a gradual decline. As of today, SMM tungsten carbide powder closed at 605 yuan/kg, and tungsten powder closed at 620 yuan/kg, both down 10 yuan/kg from the previous trading day. Some manufacturers reported low finished product inventories and refused low-priced spot orders.

Ferrotungsten: The ferrotungsten market remained weak today. Traders sold off goods before the holiday, leading to a decline in industry transaction prices. Today, the mainstream quotation for 70% ferrotungsten concentrated at 385,000-390,000 yuan/mt, down 5,000 yuan/mt from the previous trading day. Actual market transactions were below online prices. European ferrotungsten prices also showed a slight correction; European ferrotungsten closed at $80-82/kg W this week.

The scrap tungsten market mainly fluctuated rangebound today. With the clearance of previous inventory, scrap tungsten traders' inventories decreased, and enterprises mainly transacted at stable prices. Today, SMM scrap tungsten rod closed at 377 yuan/kg, steady from the previous trading day. The Ministry of Industry and Information Technology and seven other departments issued the "Work Plan for Stabilizing Growth in the Nonferrous Metals Industry (2025-2026)" on September 28, 2025. The plan mentioned accelerating the formulation of import standards for recycled metals such as tungsten. The market expects an increase in recycled tungsten resources in the future. According to customs data, since 2016, imports of products like tungsten scrap into China have dropped sharply. If restrictions on tungsten scrap imports are eased later, it will not only help reduce production costs for China's tungsten enterprises but also serve as a significant supplement to the country's tungsten resources, benefiting the sustainable development of the industry.

Short term, the overall tungsten market is mainly under pressure. Downstream sectors are digesting previous inventory, and pre-holiday restocking demand is weak. Suppliers of ore and some tungsten smelting products still have cash-out needs before the holiday, leading to continuous slight declines in spot order transaction prices due to low-price sales. The market is expected to remain weak and consolidate. Medium and long-term, since July, domestic tungsten concentrate market prices have risen rapidly, driving a noticeable increase in imports of overseas tungsten raw materials. From January to August, China's total tungsten concentrate imports reached 11,600 mt, up about 4,960 mt YoY. With stable imports of Ha ore, monthly imports of tungsten concentrate are expected to maintain a supplement of over 2,000 mt, and full-year imports are projected to increase by over 7,000 mt YoY. This partly offsets the reduction in domestic mining quotas. From a balance perspective, the total supply from domestic and imported tungsten concentrate still falls short of covering the increased downstream demand this year, leaving an expected deficit in tungsten concentrate, which should support the market in consolidating at high levels.