FP: US defence industry faces tungsten shortage amid Iran conflict

The ongoing conflict in Iran has exposed a critical vulnerability in the US defence industry: its reliance on tungsten, a dense silvery metal with the highest melting point of all pure metals, essential for everything from armor-piercing munitions to rocket nozzles, Foreign Policy reports.

“Tungsten is a ‘metal of war,’” said Chris Berry, president of House Mountain Partners, an independent metals analysis consultancy.

The problem, experts warn, is that the United States does not commercially mine tungsten. With the Middle East conflict stretching into its second month, industry analysts and executives caution that U.S. operations are rapidly depleting munitions dependent on tungsten, a material that cannot be immediately replenished or easily replaced. Tungsten prices have surged more than 500 percent since the onset of hostilities.

“We’re getting a very clear picture that there’s just simply not enough tungsten in the supply chain now, and nobody really knows how this shortfall will be made up in the near future,” said Pini Althaus, managing partner at Cove Capital, which is building a U.S.-backed tungsten mining and processing plant in Kazakhstan.

China dominates global tungsten production, imports, and consumption, leaving the U.S. reliant on recycling and imports. The last commercial U.S. tungsten mine closed more than a decade ago. While Washington maintains a classified stockpile of strategic metals, the ongoing conflict has exposed the fragility of the supply chain.

“If anything, the continued U.S. actions in the Iran war play further into Beijing’s leverage over the U.S. on rare earths,” said Kyle Chan, an expert on China’s industrial policy at the Brookings Institution. “Now, where are we going to source the yttrium or neodymium or dysprosium that we need for missile systems?”

In response, the Trump administration has accelerated efforts to secure domestic and international supply chains. Starting January 1, 2027, Defence Department restrictions will limit where manufacturers can source tungsten. Domestically, the administration has unveiled a $12 billion critical mineral stockpile and funded mining projects, including a $6.2 million award to Golden Metal Resources for a Nevada tungsten project. Abroad, it has promoted the Kazakhstan mine backed by Cove Capital.

“This is an exciting milestone for Guardian Metal,” said Oliver Friesen, CEO of Guardian Metal Resources. “Our Nevada projects are well positioned to contribute to the domestic U.S. tungsten supply amid growing focus on securing critical mineral supply chains.”

Yet experts caution that there are no quick fixes. Establishing a resilient tungsten supply chain will take years. “There are more [mines] that are going to come online, but we’re talking about over the next three to 10 years,” Althaus said.

With demand driven by the Iran war unlikely to abate, the pressure on tungsten markets—and the U.S. defense industry—appears set to intensify.

By Vafa Guliyeva