Views: 0 Author: Site Editor Publish Time: 2025-12-12 Origin: Site
As we enter December, the tungsten market continues its strong upward momentum.
Upstream raw material prices have broken through multiple key thresholds, pushing the entire industry into a new high-cost cycle.
This week, tungsten powder prices have surged to 910,000 RMB/ton, drawing significant attention across the industry due to the rapid and substantial increase.
As of the latest update:
Tungsten powder: 910 RMB/kg, +10.3% week-on-week, +188% since the beginning of the year
Tungsten carbide powder: 880 RMB/kg, +10.7% week-on-week, +183% since the beginning of the year
Aggressive upstream quotations, tight supply conditions, and periodic downstream restocking have pushed prices sharply higher, leading to an approximate 40% increase over the past two months.
Downstream Manufacturers Face the Dilemma: Soaring Costs vs. Weak Demand
The rapid rise in upstream raw material prices is quickly filtering into the smelting and deep-processing segments. Meanwhile, downstream tungsten-based product manufacturers are facing increasing pressure from two directions:
1. Sharp Cost Increases
Tungsten carbide powder—the core raw material for hard alloy production—has surged in price, driving up manufacturing costs across a wide range of drilling tools, including:
DTH bits (Down-the-Hole bits)
Button bits
Chisel bits & Cross bits
Threaded button bits
Other hard-rock drilling consumables and wear parts
Products that rely heavily on carbide buttons or carbide inserts are seeing the most significant cost impact.
2. Insufficient Demand Follow-Through
Despite soaring costs, end-market demand has not shown a corresponding increase. Buyers remain cautious in adjusting product prices, and overall new orders remain limited.
This places manufacturers in a tough position—caught between “high costs” and “weak demand”—leading many to slow procurement, reduce inventory buildup, and take a more conservative purchasing approach.
Market Sentiment Turns Cautious; High-Level Volatility Likely in the Short Term
As year-end financial liquidity tightens and investor risk appetite declines, concerns are rising about the sustainability of the rapid tungsten price rally:
Some industry participants believe the price surge may have already over-extended future market space
Buyers are increasingly cautious in accepting new orders or restocking
Short-term supply remains tight, which may support high price volatility
Mid-term trends will depend heavily on macro liquidity conditions and actual downstream demand recovery
Overall, although the tungsten market remains strong in the near term, rising uncertainties suggest the entire supply chain must stay alert.
QIDELI: Creating Stable Value for Customers During Raw Material Volatility
Amid dramatic fluctuations in raw material prices, QIDELI upholds its core principles of stable quality and reliable supply, ensuring that customers can maintain project continuity and cost control even in volatile markets.
● Supply Chain Reliability
Long-term partnerships with major raw material suppliers allow QIDELI to maintain more stable supply during market fluctuations.
● Process Optimization & Cost Control
By refining hard alloy formulations and strengthening heat-treatment and brazing processes, QIDELI ensures products maintain high performance and competitiveness despite rising material costs.
● Transparent Pricing Mechanism
During periods of sharp raw material increases, we provide transparent pricing and assist customers in planning procurement schedules strategically.
● Comprehensive Product Portfolio
With a full range of DTH bits, button bits, and threaded drilling tools, QIDELI offers flexible options and alternative models to help customers reduce cost pressure.
Outlook for 2025: Moving Forward with Stability Amid Market Volatility
While tungsten prices are likely to stay elevated in the short term, the 2025 market trajectory will depend on macroeconomic conditions, liquidity levels, and the pace of downstream demand recovery.
QIDELI will continue to closely monitor tungsten market dynamics and provide timely industry insights and procurement advice to help global customers navigate cost volatility and maintain operational stability.
