21 Chinese Titanium Dioxide Companies Announce Price Increases, with a Maximum Hike of 1,100 RMB/Ton

Chinese titanium dioxide prices have surged again, with two consecutive price hikes occurring just one month apart. In the latest round, Longbai Group led the charge, followed by over a dozen companies, including Huiyun Titanium, Haifengxin, and Shandong Dongjia, all issuing price adjustment notices within a week. Domestically, prices have risen by 300 RMB/ton, while international prices have increased by $50/ton.

Earlier, in late January - just before the Lunar New Year - the industry implemented a collective price adjustment. Cumulatively, domestic prices have increased by up to 1,100 RMB/ton, while international prices have risen by as much as $150/ton.

Rising raw material costs have put significant pressure on titanium dioxide manufacturers, with sulfuric acid prices increasing by 100–200 RMB/ton across various regions in China. In response, producers have aggressively cut production since Q4 2024, gradually pushing prices higher. Furthermore, the European Union's anti-dumping tariffs on Chinese titanium dioxide have triggered successive rounds of price hikes, serving as a defensive measure for companies operating at the brink of losses.

Longbai Group's two consecutive price hikes occurred just one month apart. While the company did not explicitly state the reasons for its latest price adjustment, firms such as Shandong Dawn cited market conditions, rising raw material costs, and internal company factors. Given the industry's current profit margins, cost pressures remain severe, with rutile-type titanium dioxide producers reporting losses of 675 RMB/ton.

On January 21, 2025, the European Union formally imposed anti-dumping duties on Chinese titanium dioxide. In response, Longbai Group initiated a price hike, followed by over 20 other companies, sparking the first major price surge of the year. This move signaled China's titanium dioxide industry's stance against the EU tariffs.

Similarly, on February 12, India announced its own anti-dumping tariffs on Chinese titanium dioxide, triggering a second wave of price increases. However, the price hikes in export markets still fall short of offsetting the additional costs imposed by the EU's tariffs. Adding to industry concerns, the EU's ruling has set a precedent, prompting India and Brazil to launch their own anti-dumping investigations. With exports accounting for 40% of China's titanium dioxide production, the sector now faces significant uncertainty, with an annual export volume of 1.9 million tons under threat.

The EU and India are two of China's largest export markets for titanium dioxide. The EU has imposed tariffs ranging from €250 to €740 per ton, while India plans to introduce duties of $460 to $681 per ton - significantly higher than the EU's lower threshold. For some companies, the impact will be even more severe.

Despite technological upgrades and industrial improvements that have allowed Chinese titanium dioxide firms to maintain a strong price advantage globally, the combination of high anti-dumping duties from the EU and India is quickly eroding this competitive edge. Industry insiders speculate that Chinese titanium dioxide producers may resort to frequent price adjustments in the future.

A sudden and drastic price hike is unlikely, making a more gradual approach necessary. Notably, the time gap between Longbai's two price hikes was exactly one month, and both announcements were nearly identical except for the date. This "boiling frog" pricing strategy - where incremental increases gradually test the market's price tolerance - encourages downstream buyers to accept higher costs over time while easing manufacturers' cost pressures.