Tungsten Powder and Tungsten Carbide Prices Hit New Highs, Market Sentiment Remains Strong

The Chinese tungsten market continues its upward momentum.

The price surge is driven by multiple resonating factors, including tight raw material supply, firm quotations from major tungsten producers, phased restocking from downstream buyers, and the continuous rise of international tungsten prices.

Since major industry institutions and leading tungsten enterprises in key production regions announced their latest price guidance last Friday, bullish market sentiment has been further reinforced. Strong price expectations from the upstream segment are now being transmitted along the supply chain.

In terms of price performance, the upward trend in tungsten ore and tungsten chemical products has slightly slowed, yet spot negotiation levels referenced against long-term procurement prices have seen marginal increases. The willingness to push prices higher is particularly evident in the tungsten powder segment, where some traders refrain from active quotations or directly offer elevated price levels.
Downstream alloy and tool manufacturers continue to adopt cautious purchasing and selling strategies based on actual demand. Cost pressures remain intense and unresolved, market activity is relatively subdued, and the industry is undergoing a phase of passive consolidation.

Current market price references:

Tungsten powder: RMB 840/kg, up approximately 165.8% year-to-date.

Tungsten carbide powder: RMB 810/kg, up approximately 160.5% year-to-date.

The sharp increase in tungsten-based products has directly pushed up the production cost of cemented carbide, affecting key drilling products including DTH bits, button bits, chisel bits, cross bits, and threaded bits. Industry participants broadly believe that, under persistent raw material price increases and steady demand, cemented carbide products will continue to face upward pricing pressure.

QIDELI Perspective: Strategic Actions for the High-Cost Cycle

To address the significant rise in tungsten resource costs, QIDELI is implementing several initiatives to ensure product stability and preserve customer value:

1. Securing Resources in Advance to Ensure Supply Continuity

QIDELI continues to strengthen cooperation with major raw material suppliers. Through long-term procurement agreements, we hedge against price volatility and safeguard the security of our production chain.

2. Technical Optimization to Improve Material Utilization

We are continuously optimizing product structures and improving alloy formulation efficiency, cutter design, and wear-control technology to enhance material performance. These efforts have achieved positive results in cost reduction.

3. Product Upgrades with a Focus on High-Value Performance

In a high-cost cycle, the market places greater emphasis on durability and overall performance. QIDELI concentrates R&D investment on products designed for hard rock drilling and complex formations, creating performance differentiation instead of competing solely on price.

4. Working with Customers Through the Cost Cycle

QIDELI remains committed to pricing transparency, sharing market cost insights in a timely manner. We support customers with trial orders, procurement consultation, and cost-efficient solutions to help maintain competitiveness amid market fluctuations.

Industry Outlook

At this stage, the Chinese tungsten market has entered a sustained high-cost cycle, with continued friction in cost transmission along the value chain.
In the short term, market dynamics will continue to be driven by tight resource supply; in the mid- to long-term, the outlook depends on strategic developments in global critical mineral resources, production plans of leading companies, and growing tungsten demand from new energy and advanced manufacturing industries.

For drilling tool manufacturers, a high-cost environment is not only a challenge—it may also serve as a catalyst for product performance upgrades and a reshaping of competitive dynamics across the industry. QIDELI will continue to monitor market developments closely and deliver more efficient, high-performance product solutions to create value for customers worldwide.