Titanium dioxide markets are somewhere predictable based on what has been going for years. Titanium dioxide (TiO2) is a global industry worth £7 billion and that is USD 11.274 billion, representing over 5 million tonnes of TiO2 pigment in more than 170 countries. The market is expected to reach 6.8 million tonnes by 2016, requiring producers to increase capacity to meet growing demand if there is no stagnation.
• The players
- E.I. Dupont de Nemours & Co. Inc.
- Cristal Global
- Tronox Incorporated
- Huntsman Tioxide
- Kronos International, Inc.
- Sachtleben GmbH
A slower-than-expected recovery in the titanium dioxide market could very well lead to oversupply and surplus quantities. The current investment in housing and construction has cooled as the world has entered more uncertain economic times. Capacity will have adjusted production in line with demand to support more stable pricing outcome with a positive view on the medium term supply/demand fundamentals for the titanium markets will result in some price corrections. An increasing proportion of volume will be sold on a shorter dated basis, including spot sales with unconstrained price and volume negotiations pressurizing current titanium dioxide (TiO2) price levels for 2014.