Ammonium paratungstate (APT) prices in China continue to correct from the extraordinary highs reached in early 2026. Domestic APT stood at approximately RMB 610,000/ton as of July 22, according to China Tungsten Industry Association data — down 60% from the January peak above RMB 750,000/ton and roughly 9% lower year-to-date.
The correction reflects a sharp reversal of sentiment. Chinese spot market commentary from July 13-22 consistently described demand as under pressure, with buyers turning cautious and long-term contract prices from major listed producers acting as the de facto floor. Tungsten concentrate, the upstream ore, has held steadier at around RMB 410,000/ton, with Fastmarkets assessing the CIF global benchmark at $2,500-2,800/mtu, providing a cost floor beneath APT.
Export markets present an entirely different picture. APT on a CIF Rotterdam basis was assessed at $3,100/mtu as of late June, the most recent Western reference available. While this has moderated from the April spike above $3,185/mtu, it remains 200-350% above the start of the year. The divergence between Chinese domestic and export benchmarks is unprecedented: China domestic APT has corrected sharply while export prices stay elevated, reflecting the market fragmentation that China's export control regime has created.
China's controls are the structural driver. Only 15 firms are authorized to export tungsten in 2026-2027, giving Beijing direct control over volume, timing and destination. Export volumes of key processed products tell the story: APT exports fell approximately 70% from 782 tonnes in 2024 to 243 tonnes in the first 11 months of 2025, according to Canaccord Genuity data. January-February 2026 exports were still down 27.6% year-on-year.
Demand on the demand side is bifurcated. Chinese domestic buyers in cemented carbide and steel sectors have pulled back as economic activity slows. But military and aerospace demand globally remains structurally strong. Reuters reported in April that surging military demand had stretched supplies to record levels. The defense procurement cycle, particularly ammunition replenishment and aerospace programs in NATO countries, continues to absorb available export volumes.
Tungsten procurement teams face a two-tier market. For buyers with access to Chinese domestic supply through joint ventures or long-term relationships, the current correction to RMB 610,000/ton represents a significant buying opportunity — but only 15 licensed exporters control outbound flows. Western buyers relying on CIF Rotterdam pricing face a fundamentally different reality: $3,100/mtu remains historically extreme despite the China correction. The market is unlikely to converge quickly given Beijing's explicit policy of export restriction. Strategic recommendations: (1) Lock 6-12 month term volumes at current China domestic levels if structural access exists; (2) Western buyers should build 60-90 day strategic buffer stocks at current Rotterdam levels, as any geopolitical shock could push prices back toward April peaks; (3) Invest in qualification of non-Chinese APT from Vietnam, Mongolia, or recycling streams. The cost of failing to diversify supply during a period of relative price stability is a production stoppage during the next tightening cycle.