Summary of titanium dioxide market in the first half of 2023

Slight decline in production

From January to July 2023, the cumulative production of titanium dioxide was 2,294,900 tons, a decrease of 3.93% from last year, and the production was reduced by 94,100 tons.

In the first half of this year, the market was affected by cost pressure and the market continued to weaken, the market started insufficient, and the output was still down slightly compared with the same period last year.

Production of titanium dioxide from 2022 to 2023

A slight recovery in price

Since the third quarter of 2022, the price of titanium dioxide has continued to decline, and then maintained a low operation. Data show that before the decline last year, the average price of the industry 20,013 yuan/ton. From January to June 2023, the average price of domestic sulfuric acid rutile titanium dioxide was 15,465 yuan/ton, down 21.48% from the same period last year.

As of June 30, the domestic sulfuric acid process rutile titanium dioxide closed at 15,650 yuan/ton, up 4.56% from the beginning of the year. On July 26, raw materials titanium ore, sulfuric acid prices rose, in the manufacturer’s cost pressure and tight supply, titanium dioxide leading enterprises led more than ten enterprises to send a letter for the fourth time, domestic customers about 600 to 800 yuan/ton.

Summarize the main reasons for the price recovery: the titanium dioxide market is weak in the first and second quarters, and the titanium dioxide enterprises are insufficient; Manufacturers inventory consumption, part of the market supply is tight; The price of domestic titanium ore continues to rise, the current price of titanium concentrate in Panxi area is 2150 yuan/ton, and the cost pressure of titanium dioxide enterprises is large; Dragon enterprise titanium dioxide announced, titanium dioxide market ushered in a tide of price increases, downstream and traders stock sentiment has increased; The exchange rate continues to be high, and the export volume of domestic titanium dioxide continues to increase.

Basically stable export

In June 2023, the export volume of titanium dioxide in China was 125,600 tons, a decrease of 13.24% from the previous month; The average export price of 15,686.32 yuan/ton, an increase of 0.50%. China’s cumulative imports of titanium dioxide from 1 to 6 tons 836,300 tons, an increase of 12.04% year-on-year.

2022 ~ 2023 titanium dioxide export volume

Average export price of titanium dioxide from 2022 to 2023

Earnings are generally down

In the first half of 2023, it is expected to return to the mother’s net profit of 203 million yuan to 245 million yuan, a year-on-year decline of 54.38% to 62.2%.

Jinpu Titanium Industry, it is expected that the net profit loss attributable to shareholders of listed companies in the first half of 2023 will be 75.4832 million to 88.0637 million yuan, a year-on-year decline of 280% to 310%.

 (Source: China Powder Network)