Tungsten Prices Hit New Highs, Boosting Vietnamese Mining Companies

The recent price dynamics have significantly bolstered the profit outlook for Masan High-Tech Materials (UpCom: MSR), the company that owns the largest tungsten mine outside of China and serves as a strategic supplier in the global high-tech materials value chain.

Supply-Demand Dynamics Favor Tungsten Producers

Tungsten has long been considered a strategic global mineral, playing a critical role in defense, aerospace, semiconductors, high-performance materials, and other high-tech industries. China currently dominates the tungsten market, accounting for approximately 83% of global production, which underscores its near-monopoly in the metal’s supply chain.

Since February 2025, China has implemented export controls on certain tungsten products, requiring export licenses, as announced by the Ministry of Commerce (MOFCOM). Industry reports, including data cited by Vietcap, indicate that China’s exports of specific tungsten product categories declined by approximately 17% in the first half of 2025, reflecting the initial impact of these new regulations. While the extent of the impact varies by product line, the tightened licensing process has heightened concerns about potential disruptions to the global supply chain.

Meanwhile, according to Vietcap Securities (VCI), the United States has intensified its supply chain security policies, imposing a 25% tariff on certain tungsten products imported from China and prohibiting the Department of Defense from purchasing tungsten from countries deemed strategic risks, including China, Russia, Iran, and North Korea. This has prompted the U.S., EU, and Japan to actively seek alternative supply sources, particularly from countries with advanced processing capabilities and higher reliability. Vietnam has thus emerged as a critical supplier, with a production volume of approximately 3,400 tons in 2024, ranking second globally (as per the Vietnam Tungsten Industry Research Report 2025-2034).

Amidst tightening supply conditions, the price of Ammonium Paratungstate (APT), a crucial input in the tungsten production chain, has continued to surge. Fastmarkets currently reports prices ranging between $735–780/mtu (CIF Rotterdam/Baltimore), nearly 2.3 times the 2024 average of $318/mtu and surpassing the 2011 peak of $430/mtu. This indicates not only a prolonged price upcycle but also a shift to a new, higher price plateau.

VCI’s analysis suggests that China’s export controls on tungsten, coupled with recovering demand in the U.S., EU, and Japan, will sustain APT prices at elevated levels in the near term. This presents a significant opportunity for high-tech material processors like Masan High-Tech Materials (a subsidiary of Masan Group (Hose: MSN)).

Dual Advantages from Mineral Prices and Restructuring

2025 marks a pivotal year for MSR, characterized by substantial improvements in operational efficiency and profitability following the divestment from H.C. Starck. According to the latest financial report, in the first nine months of 2025, Masan High-Tech Materials’ revenue reached VND 5,048 billion, a 25.1% increase year-on-year on a like-for-like basis (excluding contributions from H.C. Starck). This growth was driven by three key factors: improved production volumes of fluorspar and bismuth, significant price increases for APT and bismuth, and enhanced operational efficiency following corporate restructuring.

In Q3 2025, MSR’s revenue reached VND 2,041 billion, a 33.4% increase year-on-year on a like-for-like basis, clearly reflecting strong demand and supply shortages for strategic minerals in the international market.

Benefiting from higher selling prices and reduced unit production costs due to higher ore quality, MSR’s EBITDA margin expanded to 23.9% in Q3 2025, a 410 basis point increase year-on-year on a like-for-like basis. For the first nine months, EBITDA reached VND 1,465 billion, a robust 67.1% increase year-on-year on a comparable basis. MSR’s profitability also improved significantly. In Q3, the company reported a post-tax profit of VND 5 billion, a VND 279 billion increase year-on-year.

Overall, the first nine months of 2025 indicate that MSR is entering a new profit growth cycle, supported by a favorable commodity market, streamlined operations, and a strategic focus on high-value-added products.

Beyond global trends, MSR also stands to benefit significantly from domestic policies. On November 24, 2025, the government approved adjustments to the 2021–2030 master plan for mineral exploration, mining, and processing, which includes the Nui Phao tungsten mine in Thai Nguyen. While this plan does not equate to a mining license, it serves as a crucial legal foundation, designating Nui Phao as a national strategic mineral asset and facilitating the company’s exploration, expansion, and licensing procedures under the Mineral Law.

In the context of soaring APT prices due to global supply constraints, the new master plan further solidifies Vietnam’s role in the global tungsten supply chain. With a production volume of approximately 3,400 tons in 2024, Vietnam is currently the world’s second-largest producer and accounts for nearly 22% of U.S. tungsten imports. The combination of favorable commodity prices and an increasingly robust legal framework provides a strong foundation for Masan High-Tech Materials to expand operations, enhance deep processing capabilities, and improve financial performance in the coming years.