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       Surplus supply has weighted on tungsten concentrate and ammonium paratungstenstate (APT) prices over the past couple of months in the Chinese market and is expected to further press transaction prices over the next two months as heavy rains in Jiangxi province have reduced production by around 20pc. Affected by environmental protection inspection, production cuts of large companies and high temperature and heavy rains, production in raw material markets reduced. Most manufacturers hope to stabilize the market and avoid profit losses, but output cuts failed to prevent prices from falling further. Jiangxi Tungsten has called on other producers to trade with confidence as tungsten is a strategic metal and the 30,000t of APT stocks held by the collapsed Fanya Metal Exchange is unlikely to be released into the spot market all at once.

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