Ganzhou Tungsten Association (GTA) has raised its tungsten price forecasts for May in response to the recent rebound in prices on concerns of supply disruptions following a new round of environmental checks in major tungsten production hub, Jiangxi province, from mid-April.
Metal Bulletin’s latest assessment of black tungsten concentrates 65% on Wednesday May 2 was 112,000-113,000 yuan per tonne, up 1,000 yuan week on week.
“The prices in the physical market have reached 114,500 yuan per tonne for good quality black tungsten concentrates 65% and the cargo prices followed APT higher,” one supplier said.
Meanwhile, major producer Jiangxi Tungsten Group released its price forecast for black tungsten concentrates 65% in May at 114,500 yuan per tonne, and Zhangyuan Tungsten announced bid prices of 112,500 yuan per tonne for its restocking in the first half of May.
Spot APT prices have jumped over the past week, buoyed by tightness in the physical market and possible production disruptions due to environmental inspections in Jiangxi province.
“Deals [for APT] have been concluded at 175,000-176,000 yuan per tonne and some suppliers are offering 177,000 yuan today,” an APT producer said.
“Some APT suppliers are holding back from selling because their APT output in May or even in June has been booked out,” the above producer added.
Metal Bulletin assessed fob China APT prices at $326-330 per metric tonne unit (mtu) on Wednesday May 2, up from $320-328 per mtu one week ago, in line with the robust domestic and European markets in the past two weeks. The next price assessment will be published on Wednesday May 9.
Today, however, sources reported they have concluded deals at $331 per mtu, $332 per mtu and $333 per mtu in the past week and received many inquiries in the same period.
“It seems that overseas buyers have been waking up to price rises and tightness,” one major APT exporter said.