Why Trade Tensions Lie Behind Interest In UK Tungsten Mines

The history of tungsten mining in southwest England since 1900 has been one of managed decline. Although wartime conditions have periodically driven demand for domestic supply, high operating costs and weak margins saw operations close.

Yet this time things really may be different. While tungsten continues to offer the highest density and melting point of any metal, demand for tungsten is no longer simply being driven by wear tools, defence and aviation applications, but is seeing demand rise from advanced manufacturing, semiconductors and electronics. 

But the main driver has been geopolitical. The supply of tungsten, which is an important input for a number of high-end manufacturing and electronics applications, was heavily disrupted in February 2025 when China's Ministry of Commerce (MOFCOM) and General Administration of Customs (GAC) imposed export controls on 25 rare metal products, including tungsten and molybdenum.

In July 2025, China introduced a revised Mineral Resources Law of the People’s Republic of China, which reduced mining quotas for tungsten miners, and led to China becoming a net importer.

Tungsten is classified as a critical and strategic raw material by the EU, the US, the UK and by NATO. The global supply of tungsten is heavily concentrated, with Mainland China and the Russian Federation accounting for close to 86% of tungsten extraction between 2016 and 2020, and China and Vietnam accounting for a similar proportion of tungsten processing capacity.

The US has responded by increasing efforts to develop domestic tungsten supply chains. 

With effect from 1 January 2027, the US Defense Department will introduce strict traceability rules on imports of specified tungsten materials from covered foreign nations. This is intended to prevent the import of tungsten produced or refined in China, Russia or North Korea. Such rules will apply across the supply chain and include the mining or production of the tungsten ore or feedstock. 

In August 2026, the US responded by imposing restrictions on exports of tungsten scrap, a key feedstock for tungsten recycling, alongside black mass, the nickel and rare earth heavy material.

In parallel with strengthening domestic US supply chains, a number of US-based firms have developed closer links with key strategic partners. The Elmet Group has also announced the completion of an acquisition of a 4.99% stake in Masan High Tech Materials for US$125m on 23 September, shortly after concluding an investment in Spain-based tungsten miner EQ Resources.

What does this have to do with Devon and Cornwall in England’s southwest? Put simply, Devon and Cornwall are home to some of the world’s largest deposits of tungsten outside China.

Tungsten West

One of them, Tungsten West, restarted production at its Hemerdon mine outside Plymouth, Devon on 15 September. The brownfield open-pit tungsten mine has a resource estimate of 327 million tonnes of ore at an average grade of 0.12% tungsten, and 0.03% tin (JORC compliant). The mine is targeting ramp-up to full-scale production by the end of the first quarter of 2027.

Barely eight days later, the mine owner and operator announced that it had agreed an eight-year supply and offtake agreement with Elmet Technologies, a US-based vertically integrated producer of tungsten products and advanced materials. 

Elmet is building a vertically integrated US and allied tungsten supply chain, supported by a US$450 million committed investment from the US Department of War, and has separately secured an up to US$2 billion DLA contract to supply tungsten materials to the US National Defense Stockpile.

The supply and offtake deal is nominally worth GBP1.4bn (US$1.85bn) and covers the supply of 1,000 tonnes per year of contained tungsten trioxide to Elmet, and a further commitment to process up to 500 tonnes per year of contained tungsten trioxide to support UK Government strategic requirements and UK industry.

“Our agreement with Tungsten West further builds upon the landmark investment we received from the Department of War and advances our strategy to build a resilient supply chain for the US and allied nations,” Peter V. Anania, CEO and Chairman of The Elmet Group, comments.

"This is a landmark commercial agreement for Tungsten West and represents a major step in establishing Hemerdon as a strategically important source of tungsten for the Western world,” Jeffery Court, CEO of Tungsten West, comments.

Redmoor project

Nor is Tungsten West the only tungsten project that has accelerated its progress in response to recent increases in tungsten prices.

Strategic Minerals is an AIM-quoted minerals explorer and producer, with a primary exploration focus on the Redmoor Tungsten-Tin-Copper Project in Cornwall, UK. 

The original Redmoor Mine opened in the 18th century and operated until 1892, when low tin prices forced it to close. 

Cornwall Resources is currently undergoing exploration of the area and is permitted to commercially extract the minerals. In July, Cornwall Resources announced that it was undertaking the largest single drilling programme undertaken in the UK since 2000, and the largest continuous programme ever undertaken in Cornwall. Early results are encouraging, the company says.  

"The results to date are highly encouraging and continue to confirm our understanding of the resource and its economics, consistent with what has previously been announced. At the same time, the tungsten price environment has continued to move in the Company’s favour, and we see real potential for this to provide further upside to the published resource and economics when they are next reviewed," says Mark Burnett, Strategic Minerals Executive Director.

As the pressure for supply chains to diversify away from traditional East Asian and Russian sources of supply increases, it is clear that the prospects for the tungsten mining sector in southwest England are as supportive now as at any time since 1945.

Meet the tungsten producers

Masan High Tech Materials wholly owns the world’s largest tungsten mine located outside China, the Nui Phao Mine. Masan High-Tech Materials is also one of the world’s largest processors of tungsten raw materials with primary smelting/refining technology located in Thai Nguyen, Vietnam. 

Plansee Group - The Plansee Group owns one of the largest tungsten mines in Europe, as well as significant US based tool manufacturing and tungsten recycling operations. Wolfram Bergbau is a European leader in tungsten mining, operating one of the most significant tungsten mines in Mittersill, Austria.  

Sandvik - Sandvik is a major processor of tungsten scrap and producer of secondary tungsten material through its Sandvik Coromant business division. Sandvik’s extensive tungsten scrap recycling operations are an increasingly critical part of Western supply strategy.   

EQ Resources is an increasingly important tungsten producer outside China. EQ Resources has expanded its resource base since 2023, acquiring the Barruecopardo tungsten mine in Spain, as well as expanding its Mt Carbine operation in Australia.

Elmet Group - Elmet Group provides critical materials, precision engineered components, and high-energy systems for demanding markets. Its raw materials trading arm has agreed a number of long-term tungsten supply agreements in 2026.