Depression in Tungsten Market May Disspate Soon [SMM Daily Review]

SHANGHAI, Mar 8 (SMM) -  

As tungsten prices moved rangebound for several days, large enterprises in the tungsten market announced a new round of prices for long-term orders, breaking the current stalemate. The increase in demand for tungsten products in Europe due to Russian-Ukraine conflicts provided strong support for the prices growth of China’s exported tungsten products.

Tungsten concentrate: Due to the mining costs and the impact of the Two Sessions on the mining volume, tungsten concentrate prices remained stable. While the goods holders were holding firm to the prices, there was hardly any market concessions. In terms of APT market, under the influence of Russian-Ukrainian war, commodity prices rose sharply, while the cost of tungsten smelting remained high and shipping intention of the goods holders increased. The offers from large APT corporates contributed to the liquidity of the market. The acceptance of downstream enterprises to high prices increased, and the overall market turnover rose.
 Powder: Prices of tungsten powder rose slightly, with cemented carbide companies mainly standing wait and see and purchasing on demand.

Ferrotungsten: Affected by the severe situation of Russian-Ukrainian conflicts, the supply of ferrotungsten in Russia has dropped sharply, breaking the stability of the supply chain. The European ferrotungsten market had a supply void, increasing the international spot prices of ferrotungsten. At present, the domestic spot supply is relatively tight, and it is predicted that the short-term prices will continue to rise.