Titanium dioxide prices are under pressure, while the titanium market remains stable overall [SMM Weekly Review of Spot Titanium Cargo]

Titanium concentrate: This week, titanium ore prices remained stable overall. The mainstream quotations for Panxi titanium concentrate (TiO2≥46%) were 1,700-1,750 yuan/mt, while those for Panxi titanium concentrate (TiO2≥47%) were 1,950-2,150 yuan/mt. Currently, major producers are tightening the release of raw ore, leading to a reduction in spot supply of medium-grade ore in the market. Beneficiation plant costs are high, and large ore miners generally exhibit strong reluctance to budge on prices. However, at the beginning of this week, leading enterprises in titanium dioxide reduced their quotations, and overseas miners followed suit, causing market quotations to become rather chaotic this week. It is expected that titanium ore prices will remain in the doldrums in the subsequent period. SMM will continue to monitor changes in titanium ore transactions.

High-titanium slag: This week, titanium slag prices remained stable, with market quotations ranging from 6,690 to 7,000 yuan/mt. Currently, transactions in the titanium slag market are generally sluggish, and titanium slag enterprises intend to reduce inventory pressure through maintenance. Due to a decrease in downstream demand and high costs for titanium slag enterprises, they are operating under pressure. It is expected that titanium slag prices will remain weak in the subsequent period.

Titanium dioxide: This week, domestic titanium dioxide prices adjusted downward, showing characteristics of "limited decline and stabilization for potential growth". As of Friday this week, the mainstream quotations for domestic rutile titanium dioxide were 12,500-13,600 yuan/mt, while those for anatase titanium dioxide were 11,800-12,600 yuan/mt. According to market information, due to the downturn in the downstream market, titanium dioxide enterprises generally have a low willingness to operate. A salesperson from a major titanium dioxide enterprise stated that the recent firmness in ore prices combined with a decrease in actual transaction prices has severely compressed the profits of titanium dioxide enterprises. Considering the increased willingness of enterprises to voluntarily reduce production, it is expected that the downside room for titanium dioxide prices will be relatively limited in the subsequent period. SMM will continue to monitor changes in spot transactions.

Sponge titanium: This week, the market quotations for domestic grade 1 sponge titanium remained stable at 50,000-51,000 yuan/mt. Currently, the sponge titanium market exhibits a structural differentiation in supply and demand. On the supply side, domestic capacity continues to expand, and sponge titanium production remains high. On the demand side, a surge in orders from the military and aerospace sectors has stabilized the price of grade 1 sponge titanium at 50,000-51,000 yuan/mt, with enterprises scheduling production until late July. However, weak demand in the civilian chemical sector and inventory pressure have led some enterprises to offer discounts for sales.