Market Dynamics

Spread Narrowed between Domestic and Overseas Titanium Dioxide

Time: 2014-08-29 Source from: www.titanos.com

Prices of titanium dioxide vary widely from abroad to domestic. The latest titanium dioxide prices in China are 13,000-13,500 yuan metric tons, which are 20,000 yuan metric tons in overseas markets.

 
As the qualities of China's titanium dioxide have been improved, increased demands from overseas markets stimulating increase of the export prices of titanium dioxide. Stronger-than-expected Real-estate data in the USA , along with the export recovery in July is the main factor to driven up the prices of titanium dioxide. By July, housing starts in the USA are up 15.7% on a monthly basis, which hit new record highs over the last 8 months. Housing starts also revised up greatly in June. Recovery of America's real-estate industry motivated changes of trade flows and prices of titanium dioxide. The annual export quantities of titanium dioxide are expected to reach 600,000 metric tons by 2014(400,000 metric tons exports and 2.15 million metric tons output in 2013).
 
As the peak season loomed from September to October, there may be a trend of stock compensation of China's titanium dioxide in the latter period, which will trigger prices rises. Since there is no good news for demands of titanium dioxide in domestic market, it is more likely that the prices stabilize at 13,500 yuan metric tons.
 
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