Tungsten prices surge due to China and US export restrictions

The price of tungsten in Europe has increased ninefold over the last 18 months, rising from approximately 12–20 euros per kilogram to around 100 euros. This surge is driven by export restrictions from China and the United States, which are increasingly keeping the metal within their own borders.

China produced an estimated 67,000 tons of tungsten in 2025, accounting for nearly 80 percent of global production. In February 2025, Beijing implemented a licensing requirement for tungsten exports, limiting the trade to fifteen designated companies through 2027. Simultaneously, the United States has restricted the export of its recycled tungsten to its domestic market.

Tungsten is a critical material used in drill bits, milling tools, aerospace components, gas turbines, and ammunition. The defense industry has seen a significant increase in demand. European companies, such as Zwaan Metaal in the Netherlands, have responded by doubling their inventories to mitigate supply risks.

While recycling efforts are increasing, experts from the Centre for Materials & Resilience warn that expanding European mining may not provide long-term security. They note that if Europe increases production, China could lower prices to make those investments unprofitable. The primary bottleneck for tungsten is currently identified as market access and supply rather than recycling technology.