Tungsten prices have surged more than sixfold over the past year. Supply and demand are tightening against a backdrop of stronger Chinese export controls, prompting Japanese companies to step up recycling.
Prices for tungsten, a rare metal, have risen more than sixfold over the past year, as the Chinese government’s stronger export controls on dual-use items bound for Japan have tightened supply and demand.
Sumitomo Electric Industries announced that it will raise prices for cutting tools and other products by up to more than 25% for orders received from 1 October. The company also implemented a substantial price increase in June and expects the stronger-than-anticipated market rally to persist.
OSG, a cutting-tool manufacturer, will raise prices for tungsten drills, including standard products, by up to 75% for orders received from 1 July. Mitsubishi Materials will also raise prices for carbide materials to more than three times current levels.
Japanese companies are moving quickly to strengthen their recycling systems in an effort to secure stable supplies.