Titanium dioxide price increase again will continue to increase industry concentration

Longxi Li announced on the evening of the 28th that due to the recent rapid increase in the prices of raw and auxiliary materials and rising logistics costs, the company's various models of titanium dioxide (including sulfated titanium dioxide and chlorided titanium dioxide) were sold The price is raised by RMB 1,000/ton for various domestic customers, and increased by US$100/ton for various international customers.

It is understood that this is the fourth time since 2017 that Long Baili has raised the price of its main products.

Not long ago, three Titanium dioxide giants, Kemu, Huntsman and Koster, all raised the price of titanium dioxide products sold from March 1.

In this regard, Huaan Securities analysts said that titanium concentrate as the core raw material of titanium dioxide, for the sulfuric acid method, the taste of 42% of the titanium concentrate 2.25 tons, according to the current calculation of titanium concentrate, per ton of titanium dioxide needed Titanium concentrate prices as high as nearly 4,000 yuan, a high proportion of the cost.

The increase in the price of titanium concentrates has increased the production costs of titanium dioxide and has also supported the price increase of titanium dioxide. The shortage of titanium concentrate supply will also limit the operating rate of the titanium dioxide industry and maintain the upward trend of titanium dioxide prices.

It is worth noting that from the beginning of 2016 to the present, the domestic price adjustment for the titanium dioxide industry has gone through a dozen rounds, and the price increase has continued for 15 months, an increase of about 90%.

Titanium dioxide industry insiders said that in the context of increasingly stringent environmental protection policies, the concentration of titanium dioxide industry will continue to increase, SMEs living space will be further reduced. In the next 3-5 years, the industry mergers and reorganizations will be further accelerated, the number of production enterprises will be further reduced, and finally some titanium dioxide manufacturing enterprises with greater influence will be formed.

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