China's titanium dioxide industry has entered a period of structural adjustment.

China Coatings Network
: At present, China's
testium dioxide
industry from previous years of high-speed growth into the stage of structural adjustment. Due to the slowdown in global market demand growth, overcapacity and strengthening environmental constraints and other factors, forcing the titanium dioxide industry to accelerate structural adjustment.
structural, phased overcapacity is the concentrated embodiment of the unreasonable structure of titanium dioxide products, China's titanium dioxide production is mainly sulfuric acid method, in 2014 China Titanium White Powder Industry Association statistics titanium dioxide production of 2.4663 million tons, Among them, 1.8789 million tons of redstone type, 377.89 million tons of sharp titanium type, 209.55 million tons of non-pigment grade, less than 50,000 tons of titanium chloride powder, accounting for only 1.78 percent of the country's total output. In the restructuring of the industry, technological upgrading has accelerated the production of titanium dioxide by chlorination.
The homogenization of titanium dioxide products in China is very serious, the problem of low-end overcapacity is still not effectively solved, blind high-speed growth caused by the stage of excess capacity, has not been effectively resolved, and high-end products still need a large number of imports, product homogenization, low-end overcapacity is a major obstacle to achieving healthy and sustainable development. Increasing product research and development to open up new areas of application is a major issue in structural adjustment.
In the past two years, the development of China's large environmental market has slowed down the new normal, so that the growth rate of domestic market demand for titanium dioxide is slow, enterprises set their sights on the international market, in recent years in the production capacity and output are ranked first in the world at the same time, export volume is also increasing. In 1998, the export volume was only 30,000 tons, and in 2011 to 400,000 tons, but also in 2011 to become a net exporter, won the recognition of the international market, but at the same time export to the treasury to become the dependence of large enterprises in the industry, gradually formed an export price upside down (export price is lower than the domestic market price), so that the export of titanium dioxide prices began the diving process.
it is understood that the export price of sulphuric acid gold redstone type in 2011 USD2800-3000/t FOB-2014 USD2000-2200/t, to August 2015 to USD1800-1900/t, from 2011 to August 2015 export prices fell by about 55%. That's the reality. What matters is not that the cost of our products has been reduced (production costs are in fact increasing every year), but that our dependence on exports to reduce inventories has ballooned year by year, so much so that we have lost the ability to make a profit, and the so-called win-win situation in the international market is a beautiful lie.
Under the new normal of strict control of environmental protection, increasing economic downtrodding pressure and slowing growth rate, most industries enter the period of medium- and low-speed growth, the titanium dioxide industry is also facing deepening reform, accelerating the transformation and adjustment structure, relying on technological progress and scientific and technological innovation, vigorously cultivate new economic growth points and cultivate new competitive advantages of the key stage, structural adjustment is also the titanium dioxide industry into a new stage of development of the important task.
structural adjustment to optimize the industrial layout, the traditional development model of relying on projects, paving, increasing investment and expanding scale is unsustainable, and the development of the industry must turn to relying on structural adjustment and transformation and upgrading. Resource allocation and environmental load capacity will inevitably rise to become the titanium dioxide industry, related governments and titanium dioxide enterprises to grasp the survival, sustainable development of the core elements.
Industry restructuring to promote restructuring and integration, change the current pattern of China's decentralized production, is the increase in the concentration of industry production, is conducive to the improvement of economic efficiency of enterprises, with the adjustment of the national macro-economy, resource environment, energy constraints, enterprise profit margins have been greatly compressed. Titanium dioxide production belongs to the investment of slow industry, most enterprises have high debt ratio, capital pressure, industry-wide profit growth has been declining year by year, 2015 as of August has been unprofitable, in this environment there is no superior allocation of resources, no competitive advantage in the market how far can enterprises go?
Seed-structural adjustment forces enterprises to review the situation, strengthen their own "thick load of self-improvement", Premier Li Keqiang said: the fundamentals of economic growth stability has not changed, is described as "a wave, the trend is still good." Industry will be gradually improved in structural adjustment, pain in Nirvana, the development of China's titanium dioxide manufacturing power is the pursuit of aspiring people.