Titanium dioxide market trend in June

At the end of May, the titanium dioxide price market remained weak, and the main price remained stable, but there were more and more tendencies that made the price market continue to weaken. In fact, the price market in May was the most special and alternative month in recent years. This was mainly because since the weak trend has been clear, some manufacturers still had room for bargaining for special orders.

In a weak cycle environment, the price market label was "qualitative" early, and the end of this month and the beginning of next month is a window period with clear market conditions. The degree of "quantification" depends on the latest price policy of each manufacturer. Manufacturers, channel dealers and downstream users, or it can be said that the entire industry is paying attention to the actions of the main large manufacturers and waiting. In the process of waiting, two things happened. First, the so-called manufacturer's large customer order price information leaked, which made more users obsessed with low prices, and the price comparison and price pressure increased. Most of the actual order prices are still based on the conventional price. Second, before the official price policy comes out, any waiting is quite painful. Faced with the rigid demand plan of users, the supply side is in a state of panic and the quotations of the same product vary greatly. In fact, the more this happens, the more reluctant users are to buy, and the more chaotic the market atmosphere is.

Since it is the window period of the price market, the latest price policy in June will definitely become clearer and clearer. Focus on two directions. First, the price policy of the main large manufacturers, because it has a certain driving effect in the industry; second, the manufacturers who may have a large adjustment space, because there is a certain weak space. The price market in June may show a trend of "high fall + low conservation". The high price is under great pressure from the market. In order to achieve a reasonable positioning, a certain degree of fall may promote order acceptance and shipment; due to pressures such as costs, the low-level manufacturers have very limited room for further decline. In addition, they use the price difference to harvest a wave of orders, and the price market can also be temporarily suspended during the delivery process.

The prices of titanium ore and sulfuric acid in some parts of China have risen slightly. From the perspective of cost support, it is more difficult for titanium dioxide prices to continue to be weak, which in turn increases the possibility of stopping the decline. In fact, at the current price level, some manufacturers are already close to the cost line, or even operating at a loss. Since price cuts cannot solve the demand, although the market outlook is pessimistic, they are not very interested in further declines.