China Tungsten and Hightech Materials Co Ltd: Riding the Rare Metals Wave

In a market that never sleeps, China Tungsten and Hightech Materials Co Ltd (CTHM) is making waves, riding the crest of a rare metals surge that’s sending shockwaves through the industry. With a market cap of 300.8 billion CNH and a close price of 16.18 CNH as of July 22, 2025, CTHM is a titan in the Metals & Mining sector, specializing in non-ferrous materials like hard alloys, tungsten carbides, and cobalt power.

The Rare Metals ETF Phenomenon

The rare metals ETF (562800) has been on a relentless ascent, marking a 6-day streak of gains, with a 1.94% increase on July 24, 2025, pushing it towards a 6-day winning streak. This surge is not just a flash in the pan; over the past week, the ETF has seen a staggering 9.95% increase, topping the charts among comparable funds. The liquidity is equally impressive, with a mid-day turnover of 3.3% and a weekly average turnover of 7685.30 million CNH, leading its peers.

The Small Metals Block’s Strong Start

The small metals block didn’t just start the day strong; it soared, with companies like Jinmou and Zhongwu hitting the ceiling. This bullish trend is a testament to the sector’s robustness, with Zhongwu, Dongfang Qiaoye, Xiamen Wuhua, and others riding the wave of success.

Financing Surges and Sector Inflows

The financing balance has hit a new high of 19,196.13 billion CNH, marking a significant influx of funds into the A-share market. This trend is a clear indicator of the market’s appetite for risk and the confidence investors have in the sector’s growth potential.

Zhongwu’s Strategic Moves

Zhongwu, a key player in the industry, has been making strategic moves that are paying off. With tungsten prices holding strong, the company’s performance is set to benefit. Their hard alloy products are diverse, with varying degrees of cost sensitivity and price transmission capabilities. Moreover, Zhongwu’s production of shield cutting tools, some of which are at the forefront of the domestic market, is a game-changer.

Strategic Partnerships and Market Leadership

Zhongwu’s subsidiary, Zhaohua, is not just supplying shield cutting tools to domestic giants like Iron and Steel Construction and China Railway Equipment but is also a leader in the market. Their “Diamond” brand of domestic shield machine tungsten steel cutting tools is widely used in major infrastructure projects across the country, from subway construction to national railway and highway networks.

Conclusion: A Bullish Outlook

With the rare metals ETF on the rise and companies like Zhongwu and CTHM making strategic moves, the outlook for the Metals & Mining sector is bullish. Investors are taking note, and the market is responding with enthusiasm. As the rare metals wave continues to swell, CTHM and its peers are well-positioned to ride it to new heights. The question on everyone’s mind is not if, but how high this wave will go.