Securing Europe’s Supply of Cemented Carbide

Metalworking must keep the raw material tungsten within its own cycle
to achieve strategic independence

Frankfurt, December 9, 2025 – “Tungsten is a key raw material for cemented carbide tools, and we must keep it within the European cycle!” says Federico Costa, President of the European Cutting Tools Association (ECTA), and adds: “To secure essential raw materials for our industry in metalworking, we appeal to partners along the value chain to support the European recycling loop for cemented carbide.”

The current situation on the raw materials markets presents enormous challenges for the metalworking industry, especially regarding the raw material tungsten for cemented carbide. Since February 2025, there have been significant export restrictions on tungsten from China, which controls over 80 percent of global tungsten extraction and processing.

On the one hand, this leads to significant cost increases for tungsten imported from China. Particularly in the second half of 2025, the shortage of supply drove up costs enormously. Compared to the beginning of the year, the renowned market research agency Fastmarkets, for example, recorded a price increase of around 130 per cent for tungsten (APT) in November. On the other hand, a secure supply of tungsten for 2026 cannot currently be assumed.

“Bottlenecks are foreseeable, so we must do more to ensure the availability of tungsten,” warns Costa.

Focusing on Recycling in Europe

For decades, recycling cemented carbide has been an ecological and economic success story. Ever more tool manufacturers offer take-back solutions for worn tools and cemented carbide scrap. These materials are used to produce new tools with a high recycled content, among other things – conserving resources and making economic sense.

However, this success story is at risk if large quantities of cemented carbide scrap are bought up in Europe and moved outside the European single market. This deprives the market of valuable raw materials, drives costs even higher, and further endangers supply security.

“Every gram of cemented carbide that remains in Europe is a gain for a more stable raw material supply and a resilient, competitive metalworking industry. Customers have it in their hands whether their used tools and cemented carbide scrap are recycled responsibly,” explains Costa.

Several industries compete for tungsten. Cemented carbide production represents the largest share of demand. Additional applications include high-performance steels, semi-finished products such as filaments for lighting, chemical processes, and the defense sector.

At the same time, tungsten is a raw material with limited availability and high geographical concentration. Considering the instability in global politics, Europe would be well advised to become more resilient in this area.

Addressing the political decision-makers in Brussels and Berlin, Costa emphasises: “We need to be more independent from overseas partners and consistently strengthen the circular economy, because the smartest approach is to reuse, refurbish and recycle in Europe.”

VDMA Precision Tools is the information and communication center for European precision tool manufacturers and their representative body. Cutting tools, clamping technology, as well as dies and moulds are operated on machine tools. They are used in all areas of metalworking and, in part, plastics processing.