China’s APT and Tungsten Powder Prices Rise in the Second Half of June

China’s APT and tungsten Powder Prices Rise in the Second Half of June

Analysis of latest tungsten market from Chinatungsten Online

China’s ammonium paratungstate (APT) and tungsten powder prices are in the upward trend in the second half of June, 2021 and are expected to keep firm in the short term. 

According to actual concluded prices and comprehensive survey of manufacturers, the current black tungsten concentrate price keeps at high level of $16,190.5 per tone, and APT, the main raw material for reducing tungsten powder, is quoted at about $276.2 per mtu. 

At present, manufacturers in domestic tungsten market gradually increase their offers for tungsten powder and tungsten carbide powder while some of them stop quoting. Downstream alloy processors who take orders at hand are facing pressure both from tight supply of raw materials and high production costs. The raw material side, which may not be in a shortage, plus with the inevitable panic in the market has caused both the supply and the seller to expect the market to recover. As a result, mainstream manufacturers have already raised the medium particle tungsten powder price to $37.3/kg and $37.9/kg. But actual transactions still need to be followed up.

Unlike hot raw material market, downstream market is tepid. Alloy companies have successively reported that they have raised their quotations by 10% or even 15% in July. One of the reasons for the increase are the pressure caused by high cost of raw materials. In addition, cobalt and nickel are important metal binders for cemented carbide, their rapid recovery of price this year due to the sharp increase in new energy demand is another driving factor. 

However, Chinatungsten believes that, looking at the global market, the support from the overall market demand for tungsten products is not clear. The GDP is adjusted to 8.5%, but the economic recovery of overseas markets such as Europe and the United States is not as good as China's. The US GDP in 2021 will still remain at about 2.5%. Therefore, the raw material market that has risen sharply in a short period of time is difficult to be accepted by the downstream.