China Titanium Dioxide Prices Surge Amid Second Round of Hikes

Recently, LB Group Co., Ltd., a leading Chinese titanium dioxide producer, issued a price adjustment notice stating that, based on current market conditions, it has decided to raise prices for its titanium dioxide products effective immediately. Prices in the Chinese market will increase by RMB 500 per metric ton, while international prices will rise by USD 100 per metric ton.

Following this announcement, companies including Guangdong Huiyun Titanium Co., Ltd. and Shandong Jinhai Titanium Co., Ltd. followed suit with the same increase, marking the second round of collective price hikes in China's titanium dioxide industry this year. As of the afternoon of March 17, a total of 22 companies had issued price increase notices within just two days.

According to Yang Xun, an analyst at Titanos Industry, after the first round of high-profile price increases, manufacturers have generally seen varying degrees of price rises, with new prices already being applied to orders. As a result, recent new order volumes have shown some increase. Producers that previously held low inventory levels are now experiencing shipment backlogs, while some have temporarily closed orders to implement further price increases. This trend is particularly evident for anatase-grade products, where suppliers are strongly resisting price reductions.

Yang noted that this year's initial round of price hikes is unusual, with prices rising twice within a single month. Major producers have successively implemented supplementary increases based on their respective production and sales conditions, further reinforcing the price adjustments made earlier in the month — a situation not seen in the past decade.

The first round of price hikes also involved two overseas producers. Rising prices for imported products are attributed to previously weak operating conditions, as well as elevated energy costs influenced by developments in the Middle East. These factors have made price increases both necessary and unavoidable. Overall, Yang emphasized that downstream users' rigid demand and inventory stocking needs do not present significant risk.

As March enters its mid-point, the traditional peak season known as 'Golden March and Silver April' is beginning. However, recent order performance has not fully reflected typical peak-season strength, with demand remaining relatively weak. That said, the market is gradually recovering compared to normal levels, albeit without a pronounced rebound.

At present, China's titanium dioxide market remains firm and trending upward. Mainstream prices for sulfate-process rutile and anatase titanium dioxide are quoted at RMB 14,000–15,000 per metric ton and RMB 13,500–14,000 per metric ton, respectively. Domestic and imported chloride-process rutile titanium dioxide prices vary by application, with mainstream ranges at RMB 17,000–19,000 per metric ton and RMB 31,000–35,000 per metric ton (all prices are tax-inclusive, ex-warehouse cash prices).

Regarding the drivers behind consecutive price increases, Yang identified two key factors. First, the international situation has led to supply gaps in energy products, reduced output from overseas producers, strong upward price pressure, and tight spot availability. This may accelerate the substitution of imported products with Chinese titanium dioxide, resulting in increased global orders. Export orders from China have already been scheduled through May and June. Second, firm prices for sulfur and sulfuric acid are providing strong cost support.

Yu Jie, Secretary-General of the Titanium Dioxide Sub-center at the National Chemical Industry Productivity Promotion Center, also pointed out that sharp increases in core raw materials — sulfur and sulfuric acid — have led to widespread losses among producers, making price hikes necessary to restore profitability. Sulfur prices have risen nearly 96% year-on-year, with China relying on imports for approximately 50% of its sulfur supply, much of which comes from the Middle East. Since 2025, sulfuric acid prices have continued to climb significantly. Data shows that the average sulfuric acid price in 2025 increased by 83% compared to 2024, and by early March 2026, China's benchmark price had reached RMB 1,117.50 per metric ton, marking a substantial year-on-year increase. Given that sulfuric acid accounts for a large share of titanium dioxide production costs, the surge has sharply increased manufacturing expenses.

Some analysts believe that strong export market performance and order support are also key drivers of the price increases. In addition, expectations for peak-season demand in March and April have encouraged inventory stocking, further pushing prices upward.

Currently, China's titanium dioxide market continues to show firm upward momentum. Analysts note that as plants undergoing maintenance gradually resume operations, operating rates will increase. However, some producers are temporarily suspending orders, and certain product grades remain in tight supply, with higher price increases observed. Supported by elevated production costs, the market is expected to maintain its upward trend.

Yang added that based on current trading conditions, the market is unlikely to perform poorly in April. Influenced by the international environment, acceptance of new prices on the supply side has improved significantly. Although demand has not fully met expectations, trading activity during this minor peak season is recovering. In the short term, the price increase trend in March has been established, supply remains slightly tight, and market prices are likely to stay at elevated levels, with a low probability of decline.