High Inventory and Low Demand Weigh on Market, Titanium Dioxide Market in Weak Stalemate [SMM Titanium Spot Express]

SMM, September 1:  

SMM, September 1: The SMM titanium dioxide index price stood at 14,080 yuan/mt. Rutile titanium dioxide closed at 12,500-14,800 yuan/mt, with an average price of 13,650 yuan/mt; anatase titanium dioxide closed at 12,000-13,000 yuan/mt, and chloride-process titanium dioxide at 15,300-17,000 yuan/mt. Today, all titanium dioxide series prices remained flat compared with the previous working day.

Today, the titanium dioxide market operated steadily. On the supply side, industry operating rates remained relatively stable, but inventory levels diverged significantly among enterprises: some producers maintained a balance between production and sales with low inventory, while most enterprises saw inventory pressure continue to build, increasing their willingness to sell. As some new capacity was gradually released, the supply-side pressure on the market was unlikely to ease quickly in the short term. On the demand side, overall market trading sentiment was weak, and downstream purchasing enthusiasm was subdued. Enterprises that had previously kept prices low or adopted price cuts for sales promotions showed tentative willingness to raise prices, but end-user acceptance was limited, and the actual effect of price hikes was minimal. As a result, market participants generally held a cautious attitude toward September price expectations. Overall, although the cost side provided some support, the combination of high inventory pressure and sluggish downstream purchasing led to a lack of upward momentum for prices, while downside room was also constrained by costs. The short-term market is expected to remain in a weak stalemate.