Price adjustments due to increased raw material costs

The ongoing price increases for key raw materials, especially tungsten, are affecting the entire supply chain. In order to continue to ensure the highest product quality and availability, we have adjusted the prices for certain alloy-dependent items. The alloy surcharge is already included in the prices shown.

Reasons behind price developments

The current price increases are not the result of short-term fluctuations, but are structurally driven. The following factors play a key role:

• Supply shortage: Around 80% of the world’s tungsten production takes place in China. Stricter environmental regulations, government intervention, and the closure of unprofitable mines have severely restricted production volumes. Short-term capacity expansions are not possible, resulting in a consistently limited supply.
• State market and export control: Tungsten is classified as a strategic raw material, resulting in export controls and stock management. A significant proportion of production is reserved for strategic industries such as energy, mobility, and defense. This reduces its availability on the global market.
• Sharp increase in demand: Industries such as mechanical engineering, e-mobility, aerospace, and defense increasingly require tungsten. Since recycling cannot meet demand and tungsten is not replaceable in many applications, demand significantly exceeds supply.
• APT as a price driver: Ammonium paratungstate (APT), the key precursor in the tungsten chain, is traded on a market- and trade-driven basis. Price fluctuations have a rapid and significant impact on the entire supply chain.
• Other cost drivers: The rising costs of energy, logistics, and warehousing as well as longer delivery times are placing additional strain on the industry.
  

What does this mean for our customers?

• The pricing of our products has been adjusted to cover the increased material and process costs.
• The alloy surcharge is already included in the prices shown and is listed separately on receipts.
• We are closely monitoring market developments and will adjust prices as soon as stability returns.

Our promise

We remain committed to high-quality products and excellent service.
The price adjustments enable us to ensure a reliable supply of important raw materials while maintaining our high quality standards in the long term.

Thank you for your understanding and loyalty.