In China, from June 2009 to July 2011, the average prices
of domestic rutile TiO2 and anatase TiO2 witnessed an increasing trend. Particularly during the period from Aug. 2010
to July 2011, the average price of domestic rutile TiO2 increased from USD2,109/t to USD3,549/t, with a growth rate of
68. 35 percent; the average price of domestic anatase TiO2 increased from USD1,570/t to USD3,064/t, with a growth rate of
95.12 percent. Such staggering increases are due to tight supply of titanium ore, the high price of raw materials and strong
overseas demand. (See Figure 2 Price trends of TiO2 in China,
Jun. 2009~Sep. 2011)
In Aug. 2011, while some international producers such as
DuPont continued to raise their TiO2 prices, domestic TiO2
prices dropped due to weak demand. According to CCM's investigation, in Aug. 2011, the TiO2 stock in China is large and
the actual supply of TiO2 in China has exceeded the demand.
From 2006 to 2010, China's annual TiO2 import volume
stayed in the range of 250,000 to 300,000 tons. By contrast,
from 2008 to 2010, with increasing domestic output and improving quality, China's export volume of TiO2 witnessed an increasing trend. In 2010 and 2011, China's export volume of
TiO2 increased sharply. In 2010, China's export volume of TiO2
reached 327,307 tons, becoming the largest net exporter of TiO2
in the world. And in the first half of 2011, China's export volume
was 234,900 tons, an increase of 83.74 percent compared with
the first half of 2010. (See Figure 3 Import and export situation
of TiO2 in China, 2006~H1, 2011)
As prices have been driven up many times by the main TiO2
producers in the world, the average import price of TiO2 in
China witnessed a quick increasing trend from 2006 to 2010.
From Jan. 2010 to June 2011, the import price of TiO2 increased
more quickly. In July 2011, the average import price of TiO2
reached a new historical record of USD3059/t, with a growth
rate of 35. 31 percent compared with that in Jan. 2010.
As a result of the improved quality of domestic TiO2, a supply shortage in the world and continuously increasing international prices, China's TiO2 export price has increased quickly
since 2009, especially from Sept. 2010 to June 2011. In June
2011, the average TiO2 export price reached USD3116/t.
The global financial crisis and debt crisis in the United States
and Europe have impacted the world's TiO2 production since
2009. Some TiO2 plants in these regions have been closed, aggravating the tight supply of TiO2 in the world. This is the main
driving factor for the international price increase.
In addition, all TiO2 producers in China have adopted a sulfate process to produce TiO2 except Jinzhou Titanium Industry
Co., Ltd. More manufacturers are willing to use titanium ore and
acid-soluble titanium slag mixture as raw materials. Though
China's sulfate process and products made by it were greatly improved, it is still hard to develop further due to its high pollution.
At the same time China's technology for chloride process is poor.
Though there are some new projects with chloride process in
China in the coming five years, the technologies of these projects
are not complete as they have been introduced by foreign consulting companies. CW
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 im-port/export analysis all through its new proprietary product Val-oTracer.
For more information go to CCM’s website at www.cnchem-icals.com, or contact emarket29@cnchemicals.com.
Figure 1: Capacity and output of TiO2 in China, 2006~H1, 2011
Source: CCM International
Figure 2: Price trends of TiO2 in China, Jun. 2009~Sep. 2011
Source: CCM International
Figure 3: Import and export situation of TiO2 in China, 2006~H1, 2011
www.coatingsworld.com
Coatings World | 67
