How the U.S. Is Securing a Vital Tungsten Supply Amid China's Critical Minerals Dominance
Imagine building a house, but one single company controls every screw, nail, and bolt. You get a good price… until they decide to stop selling, or triple the cost.
That’s essentially the position the United States has found itself in with critical minerals, the raw materials that power everything from your smartphone to the guidance systems in advanced missiles. And no country controls more of those materials than China.
For decades, this reliance was just a line item on a risk assessment. But amid rising tensions, it’s become a glaring national security vulnerability. The search for alternatives has been frantic.
Well, for one crucial mineral, tungsten, a solution is coming from a surprising place: deep inside a mountain in South Korea. And CBS News just got an exclusive look at the mine and the deal that could soon help meet America's most urgent needs.
Let’s dive into why this matters far more than you might think.
Why Tungsten Isn't Just Another Metal
Tungsten is often called a "critical mineral," but Lewis Black, CEO of Almonty Industries, puts it more starkly: "It's vital. It's further than critical, it's vital."
He’s not exaggerating. This element’s superpower is its incredibly high melting point, making it indispensable for applications where failure is not an option:
- Defense & Aerospace: Armor-piercing ammunition, protective vehicle plating, rocket engines, and heat shielding.
- Advanced Technology: Semiconductors, AI chips, and 5G network components.
- Everyday Life: Electrical wiring, smartphone vibration motors, and industrial tools.
In short, you can't build the future, or defend the present, without it.
The Wake-Up Call: China's Market Stranglehold
The vulnerability comes from a massive supply concentration. Today, China controls roughly 80% of the world's tungsten supply. This dominance wasn't an accident; it was a strategy.
Starting in the 1980s, China flooded the market with cheap, subsidized tungsten, driving prices down until mines elsewhere couldn't compete. The Sangdong mine in South Korea, once the world's largest, was mothballed in the 1990s as a direct result. A similar story played out in the U.S., which hasn’t mined tungsten domestically since 2015.
The West enjoyed the low prices, but it created a dangerous dependency. That risk turned real when China recently imposed export controls on tungsten, using it as a geopolitical lever. The U.S. Defense Logistics Agency’s subsequent "SOS call" for the mineral highlighted just how exposed the supply chain had become.
The Solution: The Sangdong Mine's Second Life
The answer to this problem lies in reviving a giant. The Sangdong mine in South Korea isn't a new discovery; it's a legendary resource with a history stretching back to 1906. At its peak, it accounted for a staggering 30% of South Korea's GDP.
After being shuttered for decades, it’s now being revived by Almonty Industries. The scale is immense: once fully operational (targeted for Q1 2026), it's expected to run 16 hours a day, processing an estimated 1.2 million tons of tungsten ore per year.
The Exclusive Deal: U.S. Secures a Future Supply
The real news isn't just the mine's reopening, it's the deal behind it. Ahead of a tour with CBS News, Almonty CEO Lewis Black flew from New York to South Korea after meeting with U.S. officials, including at the White House.
There, he signed a deal guaranteeing that Almonty will supply enough tungsten for U.S. security needs in the future. While details are confidential, it represents a strategic commitment. Furthermore, an informal agreement allocates about 45% of the mine's future output to the U.S. market.
The Hard Truth: A "Tough, Miserable Journey" Ahead
Securing a source is just the first step. Black is blunt about the challenges of rebuilding a whole supply chain that the West let atrophy. "It's going to be a really tough, miserable journey," he predicts.
The hurdles are massive:
- Time: Building new mines and processing facilities takes years, if not decades.
- Workforce: "We don't have the people to run these mines," Black states, highlighting a critical skills gap.
- Disruption: As industries try to "onshore" production, Black warns there will likely be times when "some sectors are going to run out of components".
The Bigger Picture: Beyond Tungsten
This tungsten deal is a single battle in a larger war. China holds similar dominant positions in rare earths, lithium, graphite, and other materials. The U.S. and its allies are now scrambling to diversify sources, investing in mines from Montana to Africa.
The goal is clear: to untangle a web of dependence that has been decades in the making. As Black notes, it will take at least a decade to build truly resilient, diversified supply chains.