SMM data showed that Chinese APT output was down 2.2% MoM at 10,800 mt in December.
In December, elevated tungsten concentrate price and downstream sectors’ cost pressure piled pressure on APT market, seeing its profit swinging from negative territory to low level. Under this circumstance, APT producers aimed to meet long term contracts, and barely refilled stocks. In addition, some halted production for several days to inventory stocks towards the end of the year. Therefore, APT output in December kept inching down.
In January, given year-end stockpiling may be weaker than expected, the operating rate of APT producers is unlikely to drop. It is expected that APT output may remain weak in January 2024.
