Tungsten Price 5x Surge Sparks Global Pricing War

Post LinkedIn

💰Read original on 钛媒体

#tungsten #semiconductors #supply-chain

💡5x tungsten spike hits AI chips—supply chain crunch ahead

⚡ 30-Second TL;DR

What Changed

Tungsten price rises 5-fold within one year

Why It Matters

Escalating costs threaten AI chip manufacturing budgets, forcing infrastructure teams to rethink supply strategies.

What To Do Next

Track tungsten futures on LME and secure long-term contracts for AI hardware builds.

Who should care:Enterprise & Security Teams

🧠 Deep Insight

Web-grounded analysis with 7 cited sources.

🔑 Enhanced Key Takeaways

•China imposed stricter export licensing in February 2025 and published the 2026 Catalogue of Dual-Use Items in January 2026, controlling over 80% of global tungsten output[1][2].
•Demand from semiconductor manufacturing for tungsten hexafluoride (WF₆) and electric vehicles has significantly driven the price rally, alongside emerging uses in nuclear fusion[1].
•In February 2026, tungsten concentrate prices exceeded RMB 800,000/ton with a 30% monthly increase, while APT reached RMB 1.2 million/ton[3].
•Western countries, including the US hosting a Critical Minerals Ministerial in February 2026, are accelerating alternative supply chains due to plummeting Chinese exports[5].
•Global tungsten supply-demand gap projected at over 17% of demand from 2026-2028 by CICC, with declining ore grades and mining costs over 100,000 yuan/ton in China[4].

🔮 Future ImplicationsAI analysis grounded in cited sources

Tungsten supply tightness persists through 2026

China's export controls are expected to remain in place, with global inventories critically low and another deficit forecast amid policy shifts and geopolitical tensions[1][6].

Prices maintain high levels with volatility

Market participants anticipate continued bullishness but heightened volatility due to seller-driven dynamics, supply shortages, and persistent demand from EVs and semiconductors[1][3].

Global supply-demand gap exceeds 17% of demand in 2026-2028

CICC forecasts structural shortages driven by China's tightened mining quotas, declining ore grades, and lack of new mining investments worldwide[4].