A Pentagon Deadline Ignites the Race for Tungsten Independence

A single date now dictates the scramble for Western supply chains in critical metals: January 1, 2027. That is when the US National Defense Authorization Act bans Chinese magnets from American defence equipment, forcing the entire procurement network to find alternatives. For tungsten — a metal essential to armour-piercing munitions, semiconductors, and high-performance alloys — the implications are stark. China controls roughly 80% of global output and has already tightened export restrictions since early 2025.

Almonty Industries sits squarely at the centre of this recalibration. The company is restarting its Sangdong mine in South Korea, positioning itself as a non-Chinese supplier of tungsten concentrate just as demand from AI data centres and grid upgrades is accelerating. Bank of America analysts have dubbed the environment a new supercycle for specialty metals.

Index Arrival Unlocks $12 Trillion in Passive Capital

The market has taken notice. On June 29, Almonty was admitted to the Russell 1000 and Russell 3000 indices, a milestone that forces passive funds tracking those benchmarks to acquire the stock. The Russell indices serve as a yardstick for assets worth about $12.2 trillion. Management sees the inclusion as validation of the company’s operational scale and its role as a secure Western alternative in the tungsten supply chain.

Should investors sell immediately? Or is it worth buying Almonty?

Shares have responded powerfully. Over twelve months, Almonty has posted a gain of 264%. Year-to-date, the stock has nearly doubled. The rally, however, has cooled recently: the stock closed at C$23.67 on Tuesday, roughly 29% below its April high of the year. Against its 200-day moving average, the share price maintains a comfortable 30% premium. The relative strength index points to neutral momentum, suggesting the market is catching its breath after the run.

Next Catalysts on the Horizon

The company is already eyeing the next steps. Almonty expects to join the S&P/TSX Global Mining Index, which would deepen its exposure to institutional investors in Canada. Beyond that, a listing on the Nasdaq is being pursued — a move that would broaden the shareholder base and increase liquidity in North American trading. The Russell membership provides a solid floor for daily volume in the meantime.

An Industry Warning on Resource Drain

The strategic urgency goes beyond Almonty alone. Karlheinz Wex, CEO of the Plansee Group, has sounded an alarm over Europe’s export of valuable tungsten scrap, warning that the continent is undermining its own raw‑material independence while the bellwether nation tightens its grip. He argues that without retaining domestic scrap, Europe will remain vulnerable to supply shocks — a risk the US law now makes explicit.