cludes information on the key country markets in both volume and value terms. Demand drivers and market dynamics of both the agriculture and construction industries are presented. The outlook presents annual volume forecasts for the next five years, with trend indicators for 2020.

The Irfab Global Industrial Coatings Markets 2010-2020 study is PRA’s most ambitious and comprehensive industry review to date. For more information please contact Mais Haddadin of the PRA at + 44 (0) 20 8487 0800. Or visit www.pra-world.com/irfab for more information and to download sample pages from the study.

Manufacturing confidence in U.S. economy drops sharply U.S. manufacturing leaders have turned pessimistic regarding the U.S. economy, according to Grant Thornton LLP’s most recent Business Optimism Index, a quarterly survey of U.S. manufacturing business leaders. Only 40 percent believe the U.S. economy will improve in the next six months, down from 60 percent three months earlier. At the same time, 26 percent believe the U.S. economy will get worse, up from three percent. “There are many factors causing concern amongst U.S. manufacturing leaders,” said Wally Gruenes, manufacturing practice leader at Grant Thornton LLP. “Soaring energy and raw material costs and Japanese manufacturing supply chain disruptions are weighing heavily, as are unresolved U.S. debt reduction issues and a corporate tax rate that still puts the U.S. at a global competitive disadvantage. Lower effective tax rates will encourage investment and business activity, spur job creation, and ultimately increase national wealth. Tax reform should benefit the dynamic manufacturing businesses that are the backbone of American economic growth and the driving force behind expanding employment. Included in this category are many privately held businesses, the Russell 2000 and similar groups.” CW

and the total export volume of sulfuric acid was 2,800,000 tons in 2010,
which was exported to Chile, China, Philippines and India.
As one of the best industrial export countries in the world, Japan has
suffered this violent, which will cause visible impact to global economic
and related industry. Especially for China, the biggest negative impact to
related industry and international business is reflected in imports.
The price of TiO2 has continued to rise since the beginning of 2010 in
China. In 2011, due to the lack of raw materials and price increases, the
quotation of titanium concentrate is rising in Vietnam, and the price in-
crease of sulfuric acid, etc., makes the cost of TiO2 to increase.

According to CCM’s data, in December 2010, Japan exported 7,331 tons of TiO2, up by 37.1 percent compared with last month. As a result, Japan’s TiO2 export volume has boosted to 70,673 tons in 2010, up by 50. 3 percent year on year. The soaring export volume of Japan's TiO2 indicates the demand for TiO2 has rebounded, especially in Asia Pacific. As one of Japan's most important TiO2 export destinations, China imported 31,857 tons of TiO2 from Japan in 2010, accounting for 45.1 percent of Japan’s total export volume, with an increase of 5,314 tons compared with that of 2009. However, will this situation change after the earthquake?

According to Sakai Chemical Industry Co., Ltd. (Sakai), a Japanese TiO2 producer with production capacity of 60,000 tons per year, it has suffered from the damage caused by the earthquake. After the disaster, Sakai’s TiO2 facility has been halted because utilities such as electricity and water supply have been shut down since the earthquake struck.

Though Ishihara Sangyo Kaisha, Ltd. (ISK), the largest TiO2 producer with production capacity of 160,000 tons per year, was not involved by this earthquake, the TiO2 industry will still be affected. On the other hand, some ports closed due to the tsunami and earthquake will influence the import and export situation in Japan. Moreover, the violent earthquake will lead to a large reconstruction effort. Can ISK satisfy such a large rebuild demand?

As the largest producer of building material and steel, as well as the largest building market, China’s related industries are expected to obtain a certain market share. Most of the building materials in Japan are imported from China. How much building material of TiO2 will be needed to satisfy the demand of billions of reconstruction dollars?

According to one Indian titanium feedstock suppliers, some limenite orders will be suspended, as TiO2 production in Japan is to be impacted due to the power shortage after the earthquake. Hence, they can divert some volume for China’s end user in April 2011. As a result, the price of titanium feed stock is expected to restart to some extent.

Japan’s reconstruction effort after the earthquake will certainly boost TiO2 demand in Japan, which will shrink ISK’s TiO2 export volume. Moreover, the halt of Sakai will further intensify the shortage of TiO2 worldwide, especially in Asia Pacific. As a result, TiO2 price is expected to witness a faster increase.

CCM International Ltd. is dedicated to market research in China, as well as the Asia-Pacific Rim and global markets. With a staff of more than 150 professionals CCM offers market data, analysis, reports, newsletters, buyer-trader information and import/export analysis all through its new proprietary product Valo Tracer.