Tungsten concentrate price increases
2011-12-14 11:33:36 [Print]
BEIJING (Asian Metal) 14 Dec 11 – Tungsten concentrate price increased slightly on Monday due to limited supply in spot market. Downstream consumers are reluctant to accept the current price and most suppliers insist on the offer, so the market becomes stalemate at present.
A Hunan-based trader who has trading volume of 200 tons per month disclosed he has sold 50 tons of wolframite 60%min at RMB138,000/t (USD362/mtu) so far this week, and the concluded price rose by RMB1,000/t (USD2.6/mtu) compared to the end of last week. “Most consumers are reluctant to accept the current price and the concluding volume is small,” said the source, adding that they have 300 tons of tungsten concentrate on hand.
Downstream market keeps quiet with few deals concluded and the demand from terminal consumers remains inactive. Therefore, consumers are hesitant to rebuild tungsten concentrate stocks in advance. Most suppliers hold stocks from selling because it is hard to ensure tungsten ore supply as most mines stop production. The source predicted that the demand will not improve in the following days.
Another Hunan-based trader with a trading volume of 80 tons per month confirmed that it is hard to purchase wolframite 60%min at RMB137,000/t (USD359/mtu) which was the mainstream price last week, and the current price rises to RMB138,000/t (USD362/mtu). They sold 30 tons of wolframite 50%min at RMB137,000/t (USD431/mtu) on Tuesday, higher by RMB1,000/t (USD3.1/mtu) compared to last week. “We have 100 tons of tungsten concentrate on hand, and are not in a hurry to sell,” the source said.
According to him, tungsten concentrate price usually increases around the Spring Festival, so the source plans to watch the market in the following days. He forecasted that due to short supply in spot market, tungsten concentrate price has little chance to move down in near term.
A Hunan-based trader who has trading volume of 200 tons per month disclosed he has sold 50 tons of wolframite 60%min at RMB138,000/t (USD362/mtu) so far this week, and the concluded price rose by RMB1,000/t (USD2.6/mtu) compared to the end of last week. “Most consumers are reluctant to accept the current price and the concluding volume is small,” said the source, adding that they have 300 tons of tungsten concentrate on hand.
Downstream market keeps quiet with few deals concluded and the demand from terminal consumers remains inactive. Therefore, consumers are hesitant to rebuild tungsten concentrate stocks in advance. Most suppliers hold stocks from selling because it is hard to ensure tungsten ore supply as most mines stop production. The source predicted that the demand will not improve in the following days.
Another Hunan-based trader with a trading volume of 80 tons per month confirmed that it is hard to purchase wolframite 60%min at RMB137,000/t (USD359/mtu) which was the mainstream price last week, and the current price rises to RMB138,000/t (USD362/mtu). They sold 30 tons of wolframite 50%min at RMB137,000/t (USD431/mtu) on Tuesday, higher by RMB1,000/t (USD3.1/mtu) compared to last week. “We have 100 tons of tungsten concentrate on hand, and are not in a hurry to sell,” the source said.
According to him, tungsten concentrate price usually increases around the Spring Festival, so the source plans to watch the market in the following days. He forecasted that due to short supply in spot market, tungsten concentrate price has little chance to move down in near term.
Tungsten Ore WO3 65%min EXW China
Unit:RMB/mt
China tungsten concentrate producers' sales volume statistics by province by month
Unit: mt
