With the improvement of downstream demand and the rise of raw material prices, leading companies such as Longbai group and CNNC Titanium Dioxide have raised the price of titanium dioxide. Industry insiders said that automobile, real estate and other industries are the main application fields of titanium dioxide. Recently, the domestic demand for titanium dioxide has gradually recovered, and the industry as a whole is improving.
Profitability improvement
CNNC titanium dioxide announced on May 16 that since May 15, 2022, the sales price of various models of titanium dioxide of the company will be comprehensively increased, and the sales price of domestic customers will be increased by 500 yuan / ton. The company will closely track the price trend and supply and demand of titanium dioxide, and timely adjust the price of titanium dioxide products. The overall increase in the sales price of the company's main products will help further improve the company's sustainable profitability, improve the company's market position and influence, and have a positive impact on the company's operating results. The company suggests that the duration of the new sales price after this price increase cannot be determined, and there is a risk of product price fluctuation.
On May 12, Longbai group, a leading titanium dioxide company, issued a price increase letter. The sales price of its main product titanium dioxide by chlorination method was increased by 700 yuan / ton, and that of R-996, lr-108 and lr-972 titanium dioxide by sulfuric ACID method was increased by 500 yuan / ton. The company said it would closely track the price trend and supply and demand of titanium dioxide. In addition, the company announced on the evening of May 10 that it would adjust the sales price including tax of some products of its subsidiaries, among which the price of sponge titanium would be increased by 5000 yuan / ton.
However, from the perspective of commodity quotation platforms such as business cooperatives, in addition to the above-mentioned leading companies, the price of titanium dioxide of other companies has not increased significantly.
Downstream demand recovery
In an interview with China Securities Journal, the relevant person in charge of Longbai group pointed out that the titanium dioxide industry has obvious seasonal characteristics. Generally, spring and autumn are the peak season of the industry, and summer and winter are the off-season of the industry. The company's overseas business has a good momentum and has been in a state of full production and full sales. Recently, the domestic demand for titanium dioxide has gradually recovered, and the industry as a whole is improving.
Factors such as better demand and rising raw material prices have led to the rise in the price of titanium dioxide. Automobile, real estate and other industries are the main application fields of titanium dioxide, and the downstream demand of the domestic market has gradually recovered. In terms of raw materials, titanium ore, sulfuric acid and bulk raw materials are all rising in price, and the cost per ton has increased by 2000 yuan to 3000 yuan." The relevant person in charge of Longbai group told the reporter of China Securities Journal, "the domestic titanium ore price has been relatively stable recently."
Industry insiders pointed out that domestic titanium dioxide has price advantages, and the supply is relatively stable. It is expected that the export volume will continue to maintain a high level. Domestic demand still depends on the actual recovery of downstream industries such as automobile and real estate.
