China to Start Restricting Tungsten Exports

Forex - China will begin to limit its critical metal tungsten exports this weekend. According to Argus, this signifies a reversal of decades in which Chinese companies flooded the global market with cheap tungsten to drive competitors out of business and ultimately controlled 80% of the supply chain. Tungsten is an extremely hard metal used in weapons and semiconductors. The Ministry of Commerce of China released a list earlier this month stating that businesses wishing to export a range of tungsten and critical mineral products must apply for licenses as part of new rules restricting the export of "dual-use" goods that can be used for military or civilian purposes. The recent measures will come into effect on December 1. This move comes as tensions between the US and China increase demand for tungsten sourced outside of China. The US Department of Defense has prohibited its contractors from purchasing tungsten mined in China starting January 1, 2027.