Customs statistics show that in the first quarter of this year, China's cumulative titanium dioxide exports reached approximately 536,800 tons, a year-on-year increase of 7.15%. Among this, March exports totaled 201,500 tons, marking a month-on-month growth of 33.03% and a year-on-year increase of 8.92%. Imports continued to decline, with the first quarter's cumulative imports amounting to about 15,600 tons, down 25.10% year-on-year.
In the first quarter, the export volume of chlorinated titanium dioxide rutile, which has higher technical content and added value, reached approximately 135,800 tons, marking a significant year-on-year increase of 39.24%. From January to February alone, chlorinated titanium dioxide exports amounted to 84,800 tons, rising by 45.21% year-on-year. Industry analysts noted that this indicates China's titanium dioxide sector is accelerating its transition from sulfuric acid-based scale expansion to high-quality development represented by the chlorination method, with continuous upgrades in the export product structure.
There are six reasons for the high export volume of White Powder Titanium Dioxide in China in the first quarter. Firstly, there is a mismatch in the timing of the Spring Festival. During the Spring Festival, the delivery of goods either shifts in pace or lags behind in orders, resulting in a clear emphasis on ensuring supply and competing for exports; The second is the initiation and resumption of anti-dumping investigations against Chinese titanium dioxide by countries such as the UK and India, with an increase in centralized replenishment and reserve orders before the tax increase; The third reason is that the situation in the Middle East has led to a shortage of energy for overseas producers. China's stable supply has taken on some orders, especially for chlorination products, which have low prices and good quality, and have gained recognition from more overseas users; Fourthly, compared with China, the demand for key industries such as real estate in most overseas countries is still steadily increasing, and the high volume of orders is also the norm; The fifth is the "de Americanization" adjustment of China's export market, shifting towards a significant increase in exports to ASEAN, Europe, Africa, and other regions, with more developing countries becoming key markets; The sixth is the explosion of overseas demand for new energy, photovoltaics, and other niche markets, which have been released to a certain extent. This is a rapid growth point for the high-end market. In summary, it is a combination of "short-term overvaluation" and "real growth". In fact, this is similar to the situation in China, where there is also a possibility of demand overdraft, which must be observed.
In the first quarter, the import and export of titanium dioxide pigment in China showed a pattern of "steady growth in exports, optimized structure, and continuous contraction in imports". The market achieved "stable quantity and price increase" under the push of costs, but we need to be cautious of weak demand foundation and external risks.
In the first quarter, especially in March, the price of titanium dioxide experienced a rapid increase. This is mainly due to the geopolitical conflict in the Middle East at the end of February, which led to a tightening of global sulfur supply and a continuous surge in sulfuric acid prices, thereby strongly pushing up the production cost of titanium dioxide. Leading enterprises have raised prices multiple times, and by the end of March, the average price of rutile titanium dioxide reached 15260 yuan/ton.
Since the beginning of this year, the industry has continued its trend of reducing production since 2025, with a slight year-on-year decrease of 2.8% in production in the first quarter and a capacity utilization rate of less than 70%. Before and after the Spring Festival, enterprise inventory remained low, providing support for price increases. In the first quarter, there was a demand for replenishment in overseas markets, and at the same time, it was affected by anti-dumping investigations in countries such as the UK and India, as well as production cuts by some overseas companies, which to some extent benefited China's titanium dioxide exports.
Despite the impressive first quarter data, market concerns cannot be ignored. One is that the demand foundation is not solid. This round of price increases is mainly driven by cost pressures, with limited improvement in actual demand in downstream industries such as coatings, plastics, rubber, papermaking ink, and chemical fibers. The sluggish domestic real estate industry has insufficient support for demand. The actual transaction situation of high priced orders in March was lower than expected. Secondly, exports are facing pressure. In the second quarter, India's early stocking effect may fade, coupled with rising trade barriers such as anti-dumping investigations, which may put pressure on the growth rate of traditional export markets. Meanwhile, the rising international shipping costs caused by the situation in the Middle East will continue to squeeze foreign trade profits. Thirdly, the industry faces significant profit pressure. Despite the increase in product prices, most enterprises are still operating at a loss or in an inverted state due to the greater increase in raw material costs, and the industry's profit pressure has not fundamentally eased.
Overall, the import and export data of titanium dioxide in the first quarter of this year reflects the industry's resilience under external shocks and positive progress in structural upgrading. However, the key to the healthy development of the industry in the future lies in whether it can break away from the simple cost driven model, consolidate the advantages of high-end products through technological upgrades, and effectively respond to changes in overseas trade environment and domestic demand challenges. Yu Jie analyzed and pointed out.
Judging from the cumulative decline in import volume in the first quarter of this year, according to this situation, the total import volume in 2026 is highly likely to drop to a new low. The export volume was basically not affected by the Spring Festival factor, among which the export of chlorination method increased significantly year-on-year, indicating that China's competitiveness is becoming stronger with the increase of chlorination method production capacity, quality improvement, and cost basically unaffected by raw materials.
The titanium dioxide market in the first quarter continued the sluggish trend of 2025, and the entire industry began to operate under negative pressure. After the Spring Festival, there were expectations of price increases, but the US Iran war accelerated this round of market. The closure of the Holms Strait pushed up oil prices, especially significantly reducing the import supply of sulfur. As a result, the titanium dioxide market experienced a rare continuous surge in the first quarter, with price increases exceeding the expectations of both upstream and downstream markets. There was also a linkage between domestic and international markets, with most manufacturers experiencing a situation of unsold products. Supply remained tight and is expected to continue for a period of time in the future.
The hot market has slightly improved the business situation of titanium dioxide manufacturers, but it should also be noted that the continuous price increase will lead to downstream terminal acceptance capacity changing from tight acceptance to numb waiting. After all, foreign manufacturers have lower price increases and slower pace, so we must be vigilant about the overdrawn impact of future price increases on future demand.