On October 9, 2024, the Saudi General Authority for Foreign Trade issued Announcement No. AD-24-2, announcing the initiation of an anti-dumping investigation into titanium dioxide (TiO2) originating from China, following a request from Saudi manufacturers. Yan Xun, a titanium industry analyst at Titanos Group, believes that this event will have the following impacts on the domestic market:

1. Following similar actions by the Eurasian Economic Union, the EU, Brazil, and India, Saudi Arabia has become the fifth region or country to launch an anti-dumping investigation against Chinese titanium dioxide. This may set a precedent for other regions and countries, potentially leading to further investigations and forming a "siege" around Chinese TiO2 exports, creating short-term export pressure.

2. Saudi clients may adopt a wait-and-see approach, uncertain whether to increase orders or switch products, leading to a period of hesitation that could exacerbate export pressures on Chinese TiO2.

3. Anti-dumping measures generally target specific domestic manufacturers or particular product grades. Even with tariff impositions, opportunities still exist for other manufacturers and traders, potentially fostering diversification in exports.

4. Based on past experience, manufacturers with Saudi clients may preemptively stockpile goods or accelerate shipments to Saudi Arabia and surrounding regions, which could drive up prices in these markets.

5. Such targeted investigations may encourage domestic manufacturers and distributors to pursue more dispersed export strategies, thereby blurring the focus on individual target countries and promoting long-term export market development.

6. These investigations aim to protect "outdated" production capacity in the region, which does not align with market growth principles. This may harm local manufacturers' international competitiveness in the long run.

7. Tariff increases will likely lead to higher TiO2 prices, raising costs for downstream users and reducing profit margins, which could weaken the global competitiveness of their end products, such as coatings.

8. Both Saudi and global producers face transformation challenges. Increased tariffs may disrupt Sino-Saudi cooperation in product and technology fields, as well as affect investments and integration efforts.

9. China's competitive advantage in titanium dioxide remains strong, as evidenced by the anti-dumping measures. While there may be short-term pressure, the vast overseas market and the essential nature of Chinese TiO2 ensure it remains a top choice for global consumers.