In October, the titanium market showed divergent trends: titanium dioxide faced weak supply and demand, while structural supply-demand imbalances in sponge titanium became prominent. [SMM Titanium Monthly Data]

Brief Review of Titanium Dioxide Production Data

In October 2025, China's titanium dioxide market remained in the doldrums. According to SMM data, monthly production fell 2.40% MoM, while cumulative production in 2025 dropped 8.28% YoY.

At the beginning of October, although several enterprises successively issued second price adjustment notices, market response was mediocre. Domestic demand during the October peak season fell short of expectations, and actual transaction prices failed to achieve effective increases. In the latter part of the month, inquiries further decreased, and prices gradually declined under pressure. The drop in production this month was mainly due to the accident-related production halt at a leading enterprise in September. Although there were small production increases in other regions, the overall trend remained downward.

In terms of inventory structure, small and medium-sized enterprises saw some inventory reduction, mainly from fulfilling September orders, while large enterprises still faced significant inventory pressure. On the external demand side, overseas orders in October were relatively stable, but price reductions were common, keeping export prices under pressure.

Looking ahead to November, the titanium dioxide market will still rely on overseas orders for support. However, against the backdrop of high domestic inventories and no significant contraction in production, market expectations remain pessimistic.

Brief Review of Sponge Titanium Production Data

In October 2025, China's sponge titanium production remained generally stable. According to SMM statistics, monthly production rose 2.18% MoM, while cumulative production increased 3.03% YoY.

The slight rebound in production this month was mainly due to the gradual resumption of production at some enterprises that had planned but not implemented earlier production cuts. In terms of demand structure, the high-end sponge titanium market performed well, but orders in the civilian sector contracted. Notably, some manufacturers sold at low prices in late October, leading to a decline in overall market prices.

In the long run, against the backdrop of continuous expansion in sponge titanium capacity and insufficient follow-through in actual demand, prices still face certain downward pressure.