Tungsten and molybdenum (refractory metals)
BOTTLENECKChina's 2025 tungsten export controls physically constrain refractory metal supply for interconnect metallization and sputtering targets.
Tungsten from wolframite/scheelite via ammonium paratungstate and molybdenum from copper by-products or sulphides, refined to metal powder and mill products for interconnect metallization, high-temperature components, and sputtering targets. APT and high-purity sputtering products command premiums; China's 2025 tungsten export controls strengthen upstream bargaining power.
Why the concentration exists
More than 75% of global tungsten production is first converted into ammonium paratungstate (APT), an intermediate product that enables high-purity output. APT can reach 99.9%+ purity through a low-solubility crystallization process, which is essential for semiconductor-grade applications. The primary disadvantage of refractory metals is their formation of volatile oxides rather than protective oxide layers at high temperatures. This characteristic limits their use in certain oxidizing environments without protective coatings.[4][6]
Supply concentration stems from geological distribution and processing complexity, because refractory metal deposits are geographically limited. China controls approximately 83% of global tungsten mining and dictates over 80% of global tungsten concentrate production. The country also accounts for approximately 40% of the world's molybdenum supply, which creates significant dependencies for importing nations. Capital intensity and environmental regulations in producing regions reinforce this geographic concentration, so diversification remains challenging.[6][7][8]
What the evidence shows
China holds a dominant position, accounting for approximately 40% of the global refractory metals market.
intelmarketresearch.comThe steel industry is the largest consumer of the global refractory metals industry.
expertmarketresearch.comWho controls it
No independently verified market-size figure is published for this node yet.
What it depends on, and what depends on it
Tungsten accounts for 38% of the refractory metals market by segmentation, while molybdenum holds 27%. The molybdenum segment dominated the North American market with approximately 25% share in 2023. These metals are essential in semiconductor production, where demand is driven by China's integrated circuit industry sales of 884.8 billion yuan in 2020. The flourishing electronics industry increases demand for tungsten and molybdenum in semiconductor manufacturing.[1][2][3]
Where it sits in the stack
Takes in: Wolframite and scheelite ore (W); molybdenite, copper-porphyry by-product (Mo); process chemicals, energy
Sends on: Ammonium paratungstate (APT), tungsten oxide and metal powder; molybdenum oxide and metal; sputtering targets and high-purity mill products
What would break it
New supply sources are emerging outside China to address this concentration. Almonty Industries is redeveloping the Sangdong mine in South Korea, expected to produce around 4,000 tonnes of tungsten concentrate annually. Almonty has a 15-year offtake agreement with Plansee Group at a floor price of $235/mtu with no upside cap. The company acquired 100% ownership of the Gentung Tungsten Project in Montana in November 2025, which is expected to produce approximately 140,000 MTUs per year.[7][9][12]
Policy frameworks are supporting supply diversification. The US-Australia Framework for Securing of Supply, signed in October 2025, commits at least $1 billion each in financing for critical minerals projects. The US Department of Energy gave Texas-based MELT Technologies more than $5.7 million to produce tungsten carbide in January 2025. No commercial tungsten mines currently operate in the United States.[10][13][14]
What to watch
BN Strategic Metals plans to build an APT processing plant in California's Rand Mining District, with initial production targeted for the second half of 2027. The Atolia Tungsten Project contains more than 40 million pounds of tungsten trioxide. BN Strategic Metals controls more than 6,000 acres of mineral rights within the Rand Mining District. The project represents one of the few planned APT processing facilities outside China.[5]
American Tungsten expects its Idaho mine site to begin production by 2027, eventually supplying 8% of US tungsten demand. The company's timeline aligns with broader efforts to establish domestic supply chains for critical minerals. This would mark a significant step toward reducing US import dependence for tungsten.[14]
Masan High-Tech Materials expects to expand tungsten oxide capacity to more than 8,000 tonnes WO₃ to meet increased customer demand. The company announced on June 22, 2026 that the Nui Phao Expansion area and Nui Chiem area have potential resources of approximately 115 million tons of tungsten-polymetallic ore. The expansion would significantly increase Vietnam's position as an alternative to Chinese tungsten supply.[11]
Related nodes
Sources
- verifiedmarketresearch.com · 2024-12-19T11:01:10
- 360researchreports.com · 2025-11-19T22:22:40
- thebrainyinsights.com
- sciencedirect.com
- mining-technology.com · 2026-07-29
- carbidescrapbuyers.com
- lmeinsight.com
- hdinresearch.com · 2026-04-02
- macro-ops.com
- krdo.com · February 2025
- masangroup.com · 22 June 2026
- almonty.com · 2025-11-17
- hfwindustries.com
- scientificamerican.com · 2025
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