Why it matters
- Tungsten carbide is essential for cutting tools, mining, and machining.
- China produces around 80 percent of world supply and added export controls in 2025.
- No substitute matches its hardness and heat resistance for defense and aerospace uses.
Used in
Cutting toolsDrill bitsAerospace alloysArmor and munitions
Supply
China dominates. Vietnam, Russia, and a handful of small Western mines make up the rest.
Demand
Cemented carbides, steel alloys, aerospace, defense, and electronics.
Role in the portfolio
Strategic allocation. Structural demand from industry and defense with a supply base that cannot expand quickly.
Scorecard
Scarcity65
Industrial demand90
Supply concentration90
Liquidity40
Team view, not market data.