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🇸🇬 Singapore /Economy & Trade

South Korean Mine at Forefront of US Push to Break China's Tungsten Grip

From The Straits Times · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • The US is seeking to reduce its reliance on China for tungsten, a critical mineral essential for semiconductors, defense, and industrial equipment.
  • China currently dominates global tungsten production at approximately 85%, leading to price volatility and supply concerns after Beijing imposed export controls in 2025.
  • South Korea's Sangdong mine, operated by Almonty Industries, is seen as a key player in challenging China's market dominance, with potential to supply 40% of global demand outside China.

The United States is intensifying its efforts to secure critical minerals, with a significant focus on tungsten, a metal vital for advanced technologies and defense applications. The front line of this effort is beneath the surface in South Korea's Sangdong mine, where miners extract tungsten, a metal known for its extreme melting point and hardness.

Tungsten is indispensable for manufacturing semiconductors, construction and oil-drilling equipment, and modern weaponry like missiles and armored vehicles. However, China currently controls about 85% of the global supply. This dominance became starkly evident in 2025 when China imposed strict export controls, causing shortages and price spikes amid surging military demand. China has further consolidated its market position by acquiring mining rights to the world's largest open-pit tungsten mine in Kazakhstan and actively seeking scrap tungsten globally.

"What China is trying to do is not just dominate one piece of the supply chain," said Chris Berry, an independent metals analyst based in Washington. "They want to dominate the entire tungsten supply chain," encompassing mining, raw material import, and high-value tungsten material production and export.

In response, the US government is actively participating in the global race for tungsten. In late 2025, the White House facilitated a mining deal in Kazakhstan for a US company. Furthermore, the Defense Department plans to implement a ban in 2027 on contractors using Chinese tungsten and is working to build strategic stockpiles. This makes the Sangdong mine in South Korea, operated by Montana-based Almonty Industries, a crucial asset. The mine, which recently raised $770 million in an IPO, is considered the best-positioned operation to significantly challenge China's tungsten supply chain dominance. Almonty estimates the deposit holds 58 million tonnes, enough to sustain mining for 45 years and potentially supply 40% of global demand outside China.

What China is trying to do is not just dominate one piece of the supply chain. They want to dominate the entire tungsten supply chain.

— Chris BerryAn independent metals analyst based in Washington explains China's strategy regarding tungsten.
DistantNews Editorial

Originally published by The Straits Times in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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