Tungsten market uptrend to be capitalized on by Masan High-Tech Materials

Masan High-Tech Materials (MHT), a subsidiary of Masan Group Corporation, is capitalising on a "golden opportunity" in the global tungsten market. With the Nui Phao mine as a key asset, MHT is focused on delivering value through the execution of its 'Back-to-Basics' strategy.

The booming demand from high-tech industries, coupled with tighter global supply, has created a favourable environment for MHT's subsidiary, MSR. MSR's operations are expected to help elevate Vietnam's position on the global high-tech minerals map.

In the first half of 2025, MSR generated revenue of nearly VND3 trillion ($114.67 million), marking a 20% increase year-on-year. The company's after-tax profit reached VND6 billion ($229,000), an improvement of VND400 billion ($15.3 million) from the same period last year. In the second quarter alone, MSR achieved a revenue of VND1.6 trillion ($61.2 million), up nearly 28% on-year.

The "Back to Basics" strategy, which MSR announced, focuses on operational optimisation, cost efficiency, and sustainable development to ensure strong margins at the mine and processing plant. This strategy is in line with the revised Law on Geology and Mineral Resources in Vietnam, which aims to enhance transparency, improve state management efficiency, and encourage deeper participation of capable enterprises in global supply chains.

The global tungsten market is experiencing significant changes due to factors such as China's export controls and geopolitical tensions. China has imposed export controls on tungsten since February 2025, resulting in a 17% decrease in tungsten exports as of July. The US has imposed a 25% tariff on some Chinese tungsten products and banned the Department of Defence from purchasing tungsten from countries such as China, Russia, Iran, and North Korea.

These developments present challenges, but also opportunities for MSR. As a reliable alternative supplier outside China, MSR could affirm its role in the global supply chain while pursuing sustainable development through higher value-added products, operational efficiency, and recycling expansion. MSR is expected to contribute around 6.5% of Masan Group's operating profit in 2025.

Masan Group Corporation has achieved over 50% of its full-year profit target as of the second quarter and first half of 2025. The group's focus on the consumer and retail sectors, combined with the success of its high-tech materials subsidiary, positions it well for continued growth in the future.

Vietnam ranks second in the world in tungsten production with about 3,400 tonnes in 2024, accounting for nearly 22% of US imports. The Vietnamese government has approved a master plan for mineral resource exploration, exploitation, processing, and use until 2030, with a vision to 2050, prioritising sustainable extraction and deep processing over raw exports. This strategic approach aligns with MHT's commitment to delivering value and ensuring sustainable development.

In conclusion, Masan High-Tech Materials is leveraging its position in the high-tech materials sector to seize opportunities in the global tungsten market. The company's focus on operational efficiency, cost management, and sustainable development positions it well for continued growth and success in the future.