Preface: with the increase of supply, titanium dioxide manufacturers, distributors, traders, terminals and other enterprises in the market have low inventory or even no inventory. Perhaps the doubts that exist in the minds of most market participants? Where on earth is the titanium dioxide? Let's interpret this article together to see if the following analysis is the same as your guess.
Price: entering the weak decline of titanium dioxide market in the second half of the year, due to the weak terminal demand, the imbalance between supply and demand in titanium dioxide market, the market price fell to a low level, titanium dioxide manufacturers reduced production and stopped production, and the market operating rate declined. With the excessive consumption of inventory by manufacturers, and the rise in the prices of raw materials ilmenite and sulfuric acid, titanium dioxide enterprises are under greater pressure. on July 25 and August 24, Longbai Group sent letters twice to increase the price of titanium dioxide, the first increase was 600-800 yuan / ton. the second increase was 700 yuan / ton, and the market titanium dioxide enterprises followed the letter announcement, and the market ushered in two consecutive rounds of price increases.
In the titanium dioxide market, the factory price of rutile titanium dioxide was 15100-16500 yuan / ton, and that of anatase titanium dioxide was 12800-13600 yuan / ton. it rose to 16000-16900 yuan / ton on September 15, with a cumulative increase of 500-1000 yuan / ton, and the factory price of anatase titanium dioxide increased by more than 1, 000 yuan / ton The price increase of anatase titanium dioxide is higher than that of rutile titanium dioxide.
supply: according to Tuduoduo data, China's titanium dioxide production in August 2023 was 356200 tons, an increase of 7.63 percent over the previous month and 36.72 percent over the same period last year; and the cumulative output of titanium dioxide from January to August in 2023 was 2.6626 million tons, an increase of 1.00 percent over the same period last year. The manufacturers arranged more orders, and the market output of titanium dioxide increased in August and September.
On the whole, with the release of the news of rising prices in the market, the procurement of dealers, traders, downstream and other enterprises have increased one after another. Most manufacturers of titanium dioxide have arranged orders to the end of September, and some manufacturers have arranged orders to early or early October; although supply production has increased, enterprises have arranged orders for delivery, but the inventory of manufacturers is still low one and a half months after the price rise. As the market completes stock preparation one after another, some manufacturers will gradually complete delivery at the end of the month. According to the above situation, it is estimated that the market demand is about 700000 tons; the export market of titanium dioxide is relatively stable, with a monthly export volume of 12-140000 tons. China's monthly consumption is more than 200000 tons.
However, this year, the overall economic pressure in China is still relatively large, and the demand in the terminal market and the operation of enterprise funds are also relatively limited. It is not fully understood that during this price increase, the inventory prepared by terminal manufacturers is mostly in January-February, while the quantity in one month belongs to normal inventory. Except for rigid demand digestion, the overall inventory of manufacturers is still not much, some agents have a small amount of inventory, and there is also whether there is inventory or not. Now let's review the question at the beginning of the article. Where did the titanium dioxide go? in fact, according to the analysis, the increase in supply is indeed a fact. Each link of the preparation order is in the schedule delivery, and some of the goods are consumed by the terminal rigid demand. The other part is relatively scattered in all links, while the manufacturer's inventory remains low all the time. However, according to the execution of market orders, the terminal consumption is also limited, and the market inventory may increase one after another.
is currently in a tight supply of manufacturers, and the cost of raw materials is high. According to market news, dragon enterprises began to seal orders on the 15th, and it is expected that the market will rise again next week, when the titanium dioxide market will usher in "three consecutive gains". But what will happen to the rising price tide? we will reveal it next week.
