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In less than a month, titanium dioxide companies are planning to raise prices again

On September 19th, CNNC Titanium Dioxide (002145) announced in the afternoon that it had decided to comprehensively increase the sales prices of various models of titanium dioxide powder from that day onwards. Among them, the sales price for domestic customers has increased by 700 yuan/ton, and the sales price for international customers has increased by 100 dollars/ton.
According to a reporter from Securities Times · e Company from a dealer in the titanium dioxide industry, on September 18th, Longbai Group (002601) issued a price increase letter to the public, announcing that based on the current market situation, the company has decided to increase the sales prices of various models of titanium dioxide by 700 yuan/ton for domestic customers and 100 dollars/ton for international customers starting from the 18th.
The last time Longbai Group and CNNC Titanium Dioxide, two industry leaders, issued price increases, was on August 24th and 25th, with a gap of less than a month so far. Previously, at the end of July this year, led by leading companies, titanium dioxide companies also set off a wave of price increases. If this price increase forms a trend, it will be the sixth concentrated increase in the titanium dioxide industry this year.
On the afternoon of the 18th, Longbai Group sent a letter announcing the increase. On the 19th, several large-scale manufacturers have followed up on the increase. However, based on the actual market transactions and the current prices of most manufacturers, most manufacturers are still adjusting their prices, and there are few new orders. It is expected that some manufacturers will follow up on the increase in the future, and the actual order follow-up may vary depending on the manufacturer. "Sun Wenjing, an analyst at Zhuochuang Information Titanium Dioxide, told Securities Times · e Company reporters.
The market price of titanium dioxide has been sticking again in a short period of time, which is caused by the joint action of multiple factors. Firstly, the prices of titanium dioxide raw materials have been strong recently, and the production costs of titanium dioxide manufacturers remain high. The prices of new orders from manufacturers still have support.
In addition, due to the acceptable end season consumption in September and October, most manufacturers have sufficient advance orders in the early stage, and the status of rush delivery continues. Before the National Day holiday, there are some downstream restocking, and manufacturers have a tight spot and a strong willingness to increase prices.
Zhao Jing, an analyst at Longzhong Information, also said that the reason for this price increase is partly related to production restrictions and poor transportation of some titanium dioxide companies on the eve of the National Day holiday; On the other hand, manufacturers are stimulating downstream purchasing enthusiasm. 9. October is the traditional peak season for the titanium dioxide industry, and downstream coating and paint manufacturers will conduct seasonal inventory stocking in the fourth quarter. The end real estate and automotive industries have also entered a destocking cycle. At the same time, some manufacturers have individual brand names out of stock and have not yet established safety stocks, which provides some support for prices. In addition, the prices of raw materials are strong and have recently slightly increased, which also supports the market price of titanium dioxide.
However, she believes that most downstream customers of titanium dioxide currently have their own flexible stocking operations, with fixed downstream demand and more inventory at the end, resulting in a certain inventory effect. Therefore, it takes time for the market to shift from wait-and-see to digesting and transmitting demand, and the trading market in the peak season of Jinjiu is more of a "dominant" supply side.