China, tungsten and a supply shock in metal critical for war that will last far beyond Iran conflict
The U.S. government is investing up to $1.6 billion to secure additional tungsten sources through the Cove Kaz project. This initiative aims to address a looming tungsten shortage that could impact various industries and consumers. Experts warn that while consumers may not directly purchase tungsten, they will feel the effects through increased costs and delays in construction and manufacturing.
- ▪The U.S. government has committed up to $1.6 billion to the Cove Kaz tungsten project.
- ▪Tungsten is critical for various industries, including defense and manufacturing.
- ▪A shortage of tungsten could lead to increased prices for everyday items that rely on tungsten components.
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| Publication time | Wed, 03 Jun 2026 13:49:14 GMT |
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Opening excerpt (first ~120 words) tap to expand
The U.S. government has thrown its weight behind the hunt for additional sources of tungsten, committing up to $1.6 billion through the Export-Import Bank and the U.S. International Development Finance Corporation to the Cove Kaz project, including a $900 million commitment last November and a $700 million commitment in February of this year. The FT, which first reported on the Trump family investment related to the mining project, recently reported that Cove Kaz Capital has requested an additional $400 million from the Department of Defense.The government had been laying the groundwork for tungsten investment before the start of the second Trump administration.
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