Date: September 4th, 2025
Market Data: Tungsten Prices Reach Record Highs
In 2025, the global tungsten market has witnessed a remarkable rally. By late August, wolframite concentrate reached RMB 241,000/ton (+68.5% YTD), APT (ammonium paratungstate) climbed to RMB 360,000/ton (+70.6% YTD), while tungsten carbide powder surged to RMB 540/kg (+73.6% YTD). Scrap tungsten rod even soared by 86.4% year-to-date. This data highlights the sharp cost escalation across the entire tungsten supply chain.
Supply Drivers Behind the Price Surge
The recent surge is mainly attributed to China’s tightened mining quotas, environmental inspections, and export licensing restrictions, which have reduced raw material availability. Meanwhile, strong demand from aerospace, defense, and electronics industries continues to support higher prices. The combination of restricted supply and resilient demand has created a structural imbalance in the tungsten market.
Impact on CNC Cutting Tools
The CNC cutting tools industry is among the most affected sectors. Tungsten carbide remains the primary raw material for end mills, turning inserts, drills, and milling cutters. With tungsten carbide powder costs increasing by more than 70% this year, tool manufacturers are experiencing significantly higher production costs. Many producers have had to revise pricing strategies, shorten quotation validity, or consider partial substitution with alternative superhard materials.
For CNC machining enterprises, the challenge is twofold: while demand for high-precision cutting tools remains strong, the rising cost of tungsten-based tools is squeezing profit margins. This situation is also pushing the market toward greater adoption of PCD (polycrystalline diamond) and CBN (cubic boron nitride) tools, which offer competitive performance in certain applications.
Future Outlook
Unless global supply conditions improve, the CNC cutting tool market will remain under cost pressure in the coming months. Companies capable of balancing tungsten carbide usage with advanced superhard tool adoption are likely to remain more competitive in this volatile environment.
CrystCarbon Technology’s Perspective
At CrystCarbon Technology, we understand the challenges that rising tungsten prices bring to the CNC machining sector. Leveraging our expertise in PCD and CBN cutting tools as well as CVD diamond heat sinks, we provide advanced material solutions that help manufacturers reduce dependency on volatile tungsten markets. Our products deliver longer tool life, superior wear resistance, and enhanced thermal performance, enabling clients to maintain efficiency and cost competitiveness despite raw material price fluctuations.