Skyrocketing raw material costs are squeezing profits for stainless steel fastener manufacturers in China. Since March 2026, tungsten prices have hit record highs, with 65% wolframite concentrate jumping by 128.3% since the start of the year to CNY 1.05 million per ton.

This spike, driven by China’s tightened mining quotas and export controls on ammonium paratungstate (APT), directly impacts the manufacturing of hard alloy tools and specialized fasteners.

Simultaneously, LME nickel closed high at US$17,320 per ton on March 14, raising procurement costs for 304 and 316 wire rods. With raw materials accounting for 60% of production expenses, companies such as Shandong Tengda have already implemented two price increases this month.

Market participants expect continued market volatility due to supply constraints and growing demand for solar-grade tungsten fund steel wires.