2023 has come to a successful end. Looking at the development of titanium dioxide market this year, from the perspective of price, according to commodity data monitoring, the overall market price of titanium dioxide will rise in 2023. At the beginning of the year, the average price of domestic titanium dioxide was 15,933.33 yuan/ton, and at the end of the year, the average price was 16,483.33 yuan/ton. The price rose by 3.45% during the year.
Product Market
From the perspective of the market development in 2023, the titanium dioxide market showed an M-shaped trend. In the first quarter, titanium dioxide enterprises had good market confidence and prices rose. In the second quarter, cost support weakened, demand was general, and prices fell. In the third quarter, Longqi issued a letter announcing price increases, the market improved, trading sentiment was active, and prices rose. In the fourth quarter, the domestic terminal market was sluggish and market prices fell.
In the first quarter, January was recovering. In February, cost support was good, downstream demand improved, and prices rose. In March, the on-site inventory was low, and exports were good, and prices continued to rise. The cumulative increase from January to March was 7.43%. As of the end of March, the domestic rutile titanium dioxide was mostly quoted between 16,500-18,500 yuan/ton; the price of anatase titanium dioxide was around 14,500-15,000 yuan/ton.
In the second quarter, cost support weakened from April to May, demand was general, and prices fell. In June, the upstream and downstream were deadlocked, the market was on the sidelines, transactions were cautious, and prices were temporarily stable. The cumulative decline from April to June was 5.74%. As of the end of June, the domestic rutile titanium dioxide was mostly quoted between 15,500-17,200 yuan/ton; the price of anatase titanium dioxide was around 13,500-14,000 yuan/ton.
In the third quarter, manufacturers had a large number of orders on hand, and the supply on the market was slightly tight. In August, Longqi issued a letter announcing a price increase, and the center of gravity of the new order transaction price moved up. The cumulative increase from July to September was 7.23%. As of the end of September, the domestic rutile titanium dioxide price was mostly quoted between 16,700-18,600 yuan/ton; the anatase titanium dioxide price was around 15,500 yuan/ton; and the chloride process titanium dioxide price was 19,600 yuan/ton.
In the fourth quarter, the domestic terminal market was sluggish, and the new order transaction in October was poor. The titanium dioxide market is about to enter the off-season, and traders are more flexible in transactions, and the market has more low-priced goods. At the end of November, Longbai Group’s new order price was reduced by 1,000 yuan/ton. Prices continued to fall. The cumulative decline from October to December was 4.72%. As of the end of December, the domestic rutile titanium dioxide price was mostly quoted between 16,000-17,600 yuan/ton; the anatase titanium dioxide price was around 14,500-15,000 yuan/ton.
Import and export data
According to customs data, from January to November 2023, China imported a total of about 73,300 tons of titanium dioxide, a year-on-year decrease of 40.46%, and the import volume decreased to 49,800 tons. The decline in titanium dioxide imports is mainly due to the sluggish domestic market, limited demand for titanium dioxide, and high cost pressure on enterprises.
According to customs data, from January to November 2023, China exported a total of about 1.4983 million tons of titanium dioxide, a year-on-year increase of 17.14%, and the export volume increased by about 219,200 tons. The steady increase in export share has a certain positive impact on the new production capacity of titanium dioxide. In addition, the withdrawal of titanium dioxide production capacity in the international market is more beneficial to the export of domestic titanium dioxide, and titanium dioxide exports will continue to rise steadily in the future.
Capacity and output
According to public data, from January to November 2023, China’s titanium dioxide production totaled 3.821 million tons, a year-on-year increase of 7.16%, and an increase of about 255,200 tons. It is estimated that the annual output of titanium dioxide in 2023 will be more than 4.2 million tons.