Almonty Capitalises on Tungsten's Epic Rally as US Defense Ban Reshapes Global Supply

Ammonium paratungstate hits $3,185/unit as US defense regulation bans Chinese tungsten. Almonty ramps output at Sangdong, Panasqueira, and Montana mines.

The price of tungsten has exploded to an unprecedented level, and one small producer is suddenly at the centre of the West's scramble for supply. Ammonium paratungstate — the key industrial benchmark — has hit roughly $3,185 per unit in Rotterdam, a surge of almost 900% over the past twelve months. The catalyst is a US defence regulation taking effect on 1 January 2027 that will completely bar tungsten from China, Russia, Iran and North Korea from all military supply chains.

The problem is stark: Beijing controls roughly 80% of global tungsten output and is itself becoming a net importer as its own defence and high-tech sectors soak up domestic supply. Western and Asian manufacturers face acute shortages. Almonty CEO Lewis Black, speaking on US television Thursday, described tungsten as a critical vulnerability — not just for armour and ammunition, but for the semiconductor industry. "Tungsten has become the Achilles heel of modern chip manufacturing," he said, pointing to the metal's use in tungsten hexafluoride (WF?), an essential chemical in chip fabrication that giants such as Samsung and SK Hynix rely on.

Almonty is positioning itself as the non-Chinese alternative. The company moved its headquarters from Toronto to Dillon, Montana, in April 2026 to sit closer to US agencies, defence contractors and industrial clients. That relocation was no accident. On the operational side, Almonty now runs three mines. Its flagship is the Sangdong deposit in South Korea — one of the largest and highest-grade tungsten resources outside China — which completed Phase 1 in March 2026 and has begun the transition to commercial production. The Panasqueira mine in Portugal continues to contribute steady output. At the end of 2025, Almonty also bought the Gentung Browns Lake Tungsten Project in Montana for $9.75 million, a historic mine that once supplied the US strategic stockpile. Production there is slated to restart in the second half of 2026.

The financials reflect the tailwind. In the first quarter of 2026, Almonty’s revenue jumped 221% to $25.4 million, fuelled by the rapid rise in APT prices and stable contributions from Portugal. With the DFARS deadline approaching, western defence buyers are urgently seeking alternate sources, and Almonty is one of the few producers able to deliver in the near term.

The market has taken notice. Almonty’s shares last traded at C$28.25, up 0.43% on Thursday. Over the past twelve months the stock has rocketed more than 630%, though it still sits roughly 12% below the record high hit in mid-April. The relative strength index stands at 75, indicating the rally has recently gathered momentum. Whether the stock can sustain that pace will depend on Almonty's ability to ramp production before the ban locks in the tungsten supply crunch.