Two Scenarios of Titanium Dioxide Market Development in Russia For 2018Jul 10th, 2017
A Russian news agency “Chem-Courier” has summarised the results of the International Conference “PVC in Construction: Trends, Prospects, Growing Points” with the focus on the situation at Russian and global titanium dioxide markets. At present external titanium dioxide environment is considerably influencing the national market.
Over the past few years, a number of major global producers of titanium dioxide halted the production, which led to significant shortages of the product. The reasons for the suspension of the production range from the lack of raw materials to emergencies such as a fire at a factory owned by the company Нuntsman in Finland. Accordingly, it has caused an increase in titanium dioxide prices.
From the second half of 2016 to mid-2017 analysts were observing the rise in the price of various grades of titanium dioxide from 40% to 70%. The last time when the price surged to $ 250 per tonne was in February 2017.
Viktoria Chernova, a Development Director of Chem-Courier, predicts two ways of titanium dioxide market development for next year in Russia. A most favourable scenario is a makeup for titanium dioxide shortfall in the second part of in the latter six months of 2018 which will lead to the recovery of the price. A worse case scenario is that the deficit will not be bridged. As a result, they expect a rapid price appreciation.
The expert from marketing division Titanium Investments indicates two main reasons of titanium dioxide appreciation. First, it is the product shortage at the market. The second reason is a rapid price rise for titano ferrite – a basic raw material for titanium dioxide production.