Three major factors boost the price increase of the titanium dioxide industry

2020-08-19 04:13:36

[ Jiuzhi Plastics News] On the market analysis, this year's titanium dioxide industry has frequently increased prices. After entering November, the price of titanium dioxide continues to rise. Among them, the market pattern of supply in short supply, strong export data, and still stable cost side, etc. Several major factors are its main driving force.

With the uninterrupted price increase letter in recent days, titanium dioxide once again ushered in the price climax. Nearly ten titanium dioxides, including Panzhihua Titanium and Xingmao Titanium, have announced price increases of around 500-1000 yuan/ton. It can be said that after "Golden September and Silver 10", titanium dioxide continued to rise in price.

Overall, the 2016 titanium dioxide floating red is a foregone conclusion. After the downturn in 2015, titanium dioxide quickly entered the rising channel. When the chemical industry has not recovered, the price of titanium dioxide has increased by 50% compared with the beginning of the year, becoming the chemical market. A "black horse". In the environment where the domestic economy is not good enough, the kinetic energy can still be rebounded. In 2015, titanium dioxide enterprises reduced production, downstream demand rebounded, environmental protection supervision became strict, and high costs were driven together. The real decisive factor still came from titanium dioxide enterprises. After the distress in 2015, this year's titanium dioxide enterprises have finally raised their eyebrows.

As for the situation in November, it still runs through 2016. Several factors are still the driving force for price increases.

First, the market pattern is still in short supply. According to the market news, titanium dioxide producers are subject to the pressure of environmental protection policies. The output is difficult to match the market heat. The enterprises generally have less inventory, and the producers are concentrated in East China, Southwest China, South China, etc. Regional producers mostly produce single-line production.

Second, export data is strong. From January to September 2016, the total output of titanium dioxide was 540,603,305 tons. It took only three quarters to achieve the export of 534,394,441 tons for the whole year of 2015, exceeding 0.22 million tons, an increase of 0.41%. In the past, the export rutile type accounted for Most of the fourth quarter anatase exports also rebounded, even if the export price is slightly lower than the domestic trade price, but producers still give priority to exports. As the renminbi continues to depreciate, the export-oriented titanium dioxide industry may continue to be strong.

Third, the cost side is still stable. Last week, the price of titanium concentrate in Panxi continued to rise, and some miners increased by 50 yuan/ton. The logistics costs such as automobile transportation have increased, and the transportation costs such as China Mine are too high. At present, the shortage of raw ore is causing the spot of the mine to be tight. In addition, Panzhihua Iron and Steel Co., Ltd. recovers the titanium ore in situ, and the spot supply of the market is tightening. Some miners are picking up the goods. And reluctant to sell; In addition, the price of downstream titanium dioxide has risen again, and the industrial chain has become more obvious. At present, the price of titanium ore in the Panxi area is above 650-700 yuan/ton (excluding tax), and the price of 46 grade 10 titanium concentrate is between 1000-1080 yuan/ton (excluding tax), 47 grade titanium fine. The price of the mine is between 1050-1080 yuan / ton (excluding tax).

This year's titanium dioxide market is too late for the downstream and dealers. As the price continues to soar, the complaints become louder, but the market is even more prosperous. The price increase of producers is more determined and the scope is getting bigger and bigger. Chasing up and down the market is a good explanation for this phenomenon. There is only one month left in 2016, and it is difficult to support producers to raise prices again. Of course, some companies are not expected to rise.

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