October 13, 2025

How We’re Securing the Tungsten Supply Chain at CERATIZIT

At CERATIZIT, we recognize that supply chain security is a strategic priority. Tungsten, a critical material in our tooling solutions, is essential to the performance, durability, and reliability our customers expect. With over 80% of global tungsten production concentrated in China, we’ve taken proactive steps to ensure long-term stability, independence, and sustainability in our sourcing strategy.

Building Resilience Through Diversification

To reduce dependency and mitigate risk, we’ve developed a multi-pronged tungsten supply strategy. This approach integrates recycling leadership, strategic mining partnerships, and robust infrastructure to ensure consistent quality and availability.

Leading in Tungsten Recycling

In 2024, we achieved a 91% tungsten recycling rate, the Plansee Group’s rate was at 88%. This milestone reflects our commitment to circularity and resource efficiency. Our recycling success is driven by:

Buy-back agreements with customers
Advanced sorting systems for scrap collection
Centralized recycling operations managed by Global Tungsten & Powders (GTP)

Advanced Recycling Technologies

We rely on two cutting-edge recycling methods:

Thermal-Mechanical Recycling (Zinc Process): Produces ready-to-press tungsten powder directly from sorted scrap.
Chemical Recycling: Extracts pure tungsten metal or carbide, chemically identical to mined material, using similar processing steps as traditional ore refining.

These technologies allow us to maintain premium product quality while significantly reducing reliance on primary raw materials.

Strategic Infrastructure Investments

To support our recycling and sourcing efforts, we’ve strengthened our infrastructure:

Integration of Stadler, Europe’s largest tungsten scrap trader, enhances our collection network.
GTP oversees processing across the Plansee Group, ensuring efficiency and traceability.

Long-Term Mining Partnerships

We've secured access to tungsten outside China through a combination of long-term offtake agreements and strategic investments. This includes sourcing partnerships in different regions as well as strategic involvement in the Sangdong mine in South Korea, operated by Almonty Industries. As part of the Plansee Group, CERATIZIT benefits from the Group’s position as the largest single shareholder in Almonty, with all concentrates from Sangdong processed into tungsten powder at Global Tungsten & Powders (GTP). Together, these measures strengthen supply stability and reinforce control over critical resources across our fully integrated value chain.

Responsible Sourcing Practices

All our raw materials are sourced through RMI-conformant smelters, ensuring ethical, sustainable, and traceable supply chains. Our sourcing process includes:

Certified origin from validated smelters
End-to-end documentation for transparency
Long-term partnerships with trusted mining operators
A circular approach that complements primary sourcing with recycling

What This Means for Our Customers

Our supply chain strategy delivers:

Security: Protection from geopolitical disruptions and supply bottlenecks
Sustainability: Alignment with environmental and circular economy goals
Resilience: Reliable access to high-quality tungsten materials

This integrated approach strengthens our long-term competitiveness and sets a benchmark for responsible industrial sourcing.

Looking Ahead

We remain committed to securing a sustainable and resilient future for our customers and our industry. Our strategy reflects not only our values but also our readiness to lead in a world where supply chain integrity is essential.