In-depth research on titanium dioxide market in 2022

Due to the rapid growth of titanium dioxide production capacity in recent years, the domestic titanium dioxide price generally presents a shock trend, in order to establish an invincible position in the market competition, must accelerate the layout of stable market. In 2023, the titanium dioxide industry will increase the capacity of 1,055 million tons, and the domestic real estate market growth is slowing down, the demand for brushing will be reduced. 

However, the international market still has the potential to further explore, so the layout of the later industry is particularly important. Li Xiaoyu, chairman of titanium dioxide Industry Branch of China Coating Industry Association, said that in the global titanium dioxide market, China as the fastest developing growth pole, to promote the sustainable and healthy development of the global titanium dioxide industry plays a vital role. China has been the world’s largest producer of titanium dioxide for 12 consecutive years since 2010.

Price trend of titanium dioxide in 2022
In 2022, the price of titanium dioxide in China rose first and then fell. Demand pressure, recent months domestic titanium dioxide prices overall to maintain a low trend. In the first three quarters of 2022, Longbai Group achieved a net profit of 3.173 billion yuan, down 17.17% year-on-year, while China Nuclear Titanium Dioxide and Jinpu Titanium Industry achieved a net profit of 617 million yuan and 23.464 million yuan respectively, down 38.42% and 85.07% year-on-year.

From the demand side, titanium dioxide  is a white pigment with excellent properties, widely used in coatings, plastics, paper, printing ink, rubber and other fields. China is the world’s main exporter of titanium dioxide, affected by the epidemic and other factors, since the second half of this year, titanium dioxide downstream market demand continues to be weak.
From the perspective of the global market competition pattern, the market concentration of titanium dioxide industry is high, in addition, the world’s main titanium dioxide production enterprises are still through mergers and acquisitions, to further improve the market concentration. Benefiting from the guidance of industrial policies, especially under the guidance of the supply-side structural reform in recent years, titanium dioxide industry is accelerating the elimination of the backward enterprise production capacity, has optimized the competition environment within the industry, the return of titanium white price to a reasonable range, and is conducive to enhancing the overall competitiveness of titanium white industry in our country, and there is significant progress in domestic production technology, and the improvement of product quality. Therefore, the proportion of replacing foreign products increases year by year, and so does the proportion of exports.

Industry insiders said that from the point of view of product demand, the fourth quarter of the domestic in the downstream of the real estate and automobile industries demand for titanium dioxide to maintain a strong trend. With the closure of production capacity of small enterprises and the merger and reorganization of large enterprises, the industrial concentration of titanium dioxide industry will continue to increase in the future, which is conducive to improving the competitive environment of the industry and promoting the benign and sustainable development of the industry. The rapid growth of our national economy has provided sufficient space for titanium dioxide consumption in coatings, plastics, paper and ink. At the same time, titanium dioxide industry in the downstream application industry driven by the continuous development of the future development prospects are good.

Titanium dioxide import and export market
In terms of import and export, statistics released recently by the General Administration of Customs show that in January to September this year, the cumulative import volume of titanium dioxide is about 107,200 tons, down 27.01% year on year; Cumulative exports were about 1,0772,800 tons, up 14.3 percent year on year.
On the import side, affected by the weak domestic demand, imported titanium dioxide price is high, this year our titanium dioxide import volume continues to decline sharply, and the September import volume hit a record low.
In terms of export, the total export of titanium dioxide accounted for 36.43% of the total domestic production in the first three quarters. Among them, March is the highest period of titanium dioxide exports this year, exports in 145,000 tons. But in the third quarter with the economic weakening of Europe and America, the export volume of titanium white powder began to decline.

Development prospect of titanium dioxide industry
After more than 20 years of rapid development, the scale and product quality of titanium dioxide industry have been promoted comprehensively in our country. The rapid growth of our national economy has provided sufficient space for titanium dioxide consumption in coatings, plastics, paper and ink. At the same time, titanium dioxide industry in the downstream application industry driven by the continuous development of the future development prospects.