Tracking Hong Kong stocks concept | The United States accelerates the reconstruction of the tungsten supply chain Tungsten price long-term logic unchanged (with concept stocks)

According to media reports, since the outbreak of the Middle East conflict at the end of February, the stock of advanced weapons and ammunition in the United States is rapidly depleting. The prolonged conflict has not only caused a "stock shortage" of missile components but has also transmitted the crisis to the upstream, leading to a shortage of the "war metal" necessary for manufacturing these weapons - tungsten. Tungsten is extremely hard and highly heat-resistant, and due to its ability to significantly enhance the performance of weapons in penetrating armor or underground bunkers, it is widely used in fighter jets, armor-piercing bullets, and missile systems. However, replenishing these losses is facing real challenges. NBC News reports that there are not many tungsten mines globally with truly large-scale production capabilities, and the extraction and processing difficulty is extremely high. Since 2015, there have been no operational commercial tungsten mines in the United States. Currently, tungsten production and refining are mainly dominated by China, with its tungsten mine output accounting for over 80% of the global supply. The United States mainly relies on recycling and large imports for tungsten - according to data from the U.S. Geological Survey, the U.S. needs to import more than 6,000 tons of processed tungsten annually. Faced with supply pressure, the United States is accelerating the reconstruction of the tungsten supply chain within its territory and with allies. In February, the White House launched a $12 billion plan to stockpile various critical minerals, including tungsten. In addition, the White House is providing financial support to domestic mining projects and attempting to establish mineral cooperation relationships with U.S. allies around the world. The Center for Strategic and International Studies (CSIS) warned last month that the current high-intensity military consumption could result in a long recovery period for some critical ammunition stocks of the U.S. military, which also means that the demand for critical raw materials such as tungsten will remain high for the long term. Guotai Haitong released a research report stating that the release of previous inventories, the release of waste tungsten, import supplements, and export restrictions have driven the continuous decline in the prices of tungsten concentrate and ammonium paratungstate (APT). The logic of shrinking primary supply is still there, and with reduced smelting, inventory digestion, and downstream low-stock replenishment starting, tungsten prices in June-July are expected to stabilize. It is recommended to focus on targets in the resource end with a high proportion of self-owned mines and a layout of mid- to high-end deep processing products. Tungsten mining related industry chain Hong Kong stocks: JIAXIN INTL RES (03858): The company's total revenue is contributed by the production of white tungsten concentrate in Batu Kuta. All of the company's revenue comes from white tungsten concentrate. Since the start of commercial production and sales in April 2025, the company has produced 5008 tons of white tungsten concentrate and sold 4879 tons in the whole year. With the ramp-up of production capacity and operational optimization, the company's cost structure is expected to further improve. It is expected that the production volume will increase to around 9000 tons in 2026, and in 2027, with the commissioning of the second-phase waste dumping project, the designed annual processing capacity will reach 4.95 million tons/year, with a stable annual production volume of over 13,000 tons after full production. Recently, JIAXIN INTL RES has entered into a non-binding memorandum of understanding with PMF to seek mineral resource development opportunities in Kazakhstan.