Overcapacity in the hottest titanium dioxide indus

Titanium dioxide industry overcapacity is likely to increase

titanium dioxide industry overcapacity is likely to increase

September 28, 2011

[China paint information] when exploring a new development path of plastic granulator technology, China Paint Industry Association titanium dioxide, Liu Changhe, head of the expert group of the powder industry branch, said in an interview recently that the problem of domestic titanium dioxide overcapacity may become more serious at the end of the 12th Five Year Plan

it is understood that the production process of titanium dioxide includes sulfuric acid method and chlorination method. Chlorination is the mainstream process in developed countries. By the end of the "Eleventh Five Year Plan", China has become the world's largest producer and consumer of titanium dioxide, with a production capacity of 2.3 million tons, of which the chlorination capacity is only affected by exports and domestic demand of 30000 tons, accounting for 1.5% of China's total; The annual production of titanium dioxide was 1.474 million tons; In the whole year, 269000 tons were imported and 266000 tons were exported; The domestic apparent consumption is 1.477 million tons, and the overcapacity is nearly 40%

Liu Changhe told that in the first half of the year, due to the international titanium dioxide Market in short supply, China's export volume surged, the price of titanium dioxide increased significantly, and the overall profit margin of the industry was high. In this case, domestic enterprises are enthusiastic about investment and have invested in the construction of titanium dioxide devices, resulting in a rapid increase in domestic titanium dioxide production capacity. According to statistics, at present, the production capacity of titanium dioxide by sulfuric acid method proposed and under construction nationwide has reached more than 1.5 million tons, and the production capacity of titanium dioxide by chlorination method has also reached 670000 tons. By 2015, after all the new projects are completed and put into operation, the production capacity will reach 4.38 million tons

he pointed out that according to the development speed of several downstream industries of titanium dioxide, it is optimistic to estimate that the annual demand for titanium dioxide will increase by 15%. By 2015, the demand for titanium dioxide will only be 3.017 million tons. If the models and uses of new products are similar to those of existing products, at the end of the 12th Five Year Plan, the overcapacity problem in the titanium dioxide industry will not be reversed. On the contrary, the problem of overcapacity will become more serious, resulting in excessive consumption of resources and intensified market competition. In this case, it is urgent for domestic titanium dioxide enterprises to vigorously promote technological innovation with good particle quality. Enterprises should have a new positioning for new or proposed titanium dioxide projects, and new products should focus on high-end markets and emerging fields

Liu Changhe also said that at present, domestic enterprises have been able to meet the demand in the traditional medium and low-end fields, but the high-end market is basically monopolized by imported products, which need to be imported every year. At the same time, large foreign titanium dioxide companies have invested a lot in the development of sample breakpoints in new application fields, accounting for more than 2% of the total output value. However, domestic enterprises have less investment and insufficient development efforts, resulting in slow growth in new fields