In the end of 2008, financial crisis exploded worldwide. Demand for tungsten products dropped sharply along with falling prices and this culminated into a very difficult year for most market participants in the tungsten industry in 2009. Demand slowed down in Chinese domestic market, and shrank in the export market; to the extent that every manufacturer tried hard to survive.

From November 2009, the raw material market started to warm up first; the rising price of tungsten concentrate and APT pushed the downstream market in the upward trend. In the beginning of 2010, tungsten market had a good start as international buyers started purchasing after a year-long de-stocking. Many people believed the fundamentals of tungsten market have improved so the market will continue to move upward throughout this year. However, has the difficult time really passed?

Tungsten, a strategic material called “the industry teeth”, is mainly supplied by China. In the last few years, Chinese government elevated the export curb on tungsten raw and intermediate products, and encouraged the exportation on higher value added products; to achieve the goals, Chinese government adjusted the export tariff. Last year, many governments released series of policies to stimulate the economy by increasing domestic consumption. Try to understand the government policy, to be prepared.

In the end of 2008, most international consumers purchased large volume of raw material, but consumption of downstream products decreased greatly in 2009, so a lot of manufacturers decreased production and layoff workers according to the decreasing orders. Moreover, they adjusted the purchasing strategy and de-stocking throughout the year. In 2010, consumers will carry on strategy that they will make purchase in small volume and come to market more often, trying to keep stock level at minimum level. However, with this purchasing strategy, manufacturers are vulnerable against risks, and they may not find enough raw materials when receiving a big order. Forecast the market trend, ensure profit margin.

Chinese suppliers are more focused on the raw material or intermediate material production, and only few manufacturers can compete with foreign companies in high-technique market. Reviewing the past, companies with new invention had better chance to survive the economic recession. Research in new products is necessary, looking for more opportunities.

Asian Metal expects that tungsten market is going to change fast in 2010, and would like to provide a platform for companies in the tungsten industry to share views of the market, exchange ideas for development, and also help companies finding potential business partner.

Senior officials from relevant national committees will be invited to clarify and detail macro-controlling policies and export strategies on the development of Chinese Tungsten industry.

Senior executives from well-known major market players in the tungsten industry from both China and the rest of the world will give their unique and insightful views on the development and outlook of tungsten market.

Professional editors from world-renowned media outfits, such as Xinhua Agency, Reuters, Interfax and Bloomberg will be invited to attend and report this summit.