Titanium Dioxide Prices Remain Firm; Second Wave of Titanium Dioxide Price Increases [SMM Analysis]

This week, the titanium dioxide market continued the pre-holiday upward trend, with over 20 companies having issued price increase notices. Currently, the price of sulphate-process rutile titanium dioxide is quoted at 14,000-14,900 yuan/mt, while anatase titanium dioxide is quoted at 12,500-13,000 yuan/mt.

In terms of raw materials: the supply of raw materials from Panzhihua mines slightly increased, and the operating rate of hydraulic beneficiation plants improved, leading to better supply conditions for medium-grade concentrate. However, due to insufficient or no raw material inventory at surrounding factories before the holiday, the resumption phase requires phased procurement, resulting in a relatively balanced supply and demand situation in the market, with an overall stable trend.

This week, the price of sulphuric acid continued to rise, coupled with high titanium ore prices, leading to increased production costs for titanium dioxide, which strongly supported its price. Although the execution of new orders for titanium dioxide after the holiday has been poor, due to low inventory levels at enterprises and rising costs, major companies are expected to raise titanium dioxide prices by 300 yuan/mt on Friday. Other producers are currently in a wait-and-see mode, but prices are expected to follow the upward adjustment. Export orders this month remained strong, and domestic downstream enterprises are gradually resuming production, all of which indicate that titanium dioxide prices are likely to continue rising in the future.