Market Report

1. Price Trends in January

• Titanium Dioxide (TiO2) Pigment prices exhibited a slight increase in January, particularly in small and medium-sized mines, with a rise of approximately $7 per ton.
• Prices in major factories remained steady.
• Non-tax quotations for ilmenite in the Southwest of China fluctuated between approximately $331 – $349 per ton.

2. Influential Market Factors

• The market was influenced by the increased distribution of ilmenite
• The supply of high-quality low-phosphorus ilmenite remained tight, while the supply-demand balance for high-phosphorus ilmenite was maintained.
• With the approach of the Spring Festival, downstream enterprises increased their stockpiling activities.

3. Import Data

• In 2023, China’s ilmenite imports totalled approximately 4.2719 million tons, indicating a 23.03% increase compared to the previous year.

4. TiO2 Pigment Market Dynamics

• The TiO2 Pigment market experienced an initial decline, followed by an upward trend in January.
• Following price increases by leading manufacturers, 20 other companies in the market declared price rises ranging from approximately $70 – $141 per ton.
• The export market sustained a robust performance, with a price increase of about $28 per ton at a lower price point.

5. Outlook for February

• Given the tight supply of TiO2 Pigment and high ilmenite costs, prices are expected to increase.
• The market for sponge titanium is currently weak, with first-class sponge titanium being quoted at approximately $675 – $690 per ton.
• High ilmenite prices are exerting pressure on the production costs for sponge titanium.
• The market is expected to balance the supply and demand of ilmenite, with a potential price increase after the Spring Festival.
• Due to the low inventory of TiO2 Pigment and high ilmenite costs, an increase in the price of TiO2 Pigment is expected.
• The supply of sponge titanium is exceeding demand, and with high raw material prices, the market price for sponge titanium is expected to remain weak.