Independent titanium dioxide pigment price forecast expects continued pressure on margins for sector in 2013

In the latest TiO2 Pigment Price Forecast, TZ Minerals International (TZMI) reports that TiO2 producers will come under significant pressure in the next two to three years to maintain satisfactory margins in the face of rising costs. It also expects price increases in some titanium feedstock prices in 2014, adding strain on pigment producers’ margins.

  • Share on TwitterShare on FacebookShare on Google+Share on LinkedInEmail a friend

Pigment Price Forecast

Although there has been some pick-up in demand for TiO2 pigment in Q1 2013, it is not enough to reset the high inventory levels held by producers...

(PRWEB) May 15, 2013

In the latest TiO2 Pigment Price Forecast, TZ Minerals International(TZMI) reports that TiO2 producers will come under significant pressure in the next two to three years to maintain satisfactory margins in the face of rising costs. It also expects price increases in some titanium feedstock prices in 2014, adding strain on pigment producers’ margins.

The newly released Pigment Price Forecast Q2 2013(PPF13Q2) uses a detailed analysis of the global supply/demand balance to provide a price forecast for TiO2 pigment to 2017 across all regions and across high and low quality products, plus in depth analysis of the factors influencing global pigment prices.

Although there has been some pick-up in demand for TiO2 pigment in Q1 2013, it is not enough to reset the high inventory levels held by producers to seasonal norms and the decline in production as utilisation levels remain low.

TZMI expects that producers will continue to restrict output until inventory levels are reduced to a normal level, most likely into Q3 2013.

TiO2 producers are expected to increase prices in 2H 2013, in addition to the prices increases already announced in Q1 and Q2 2013. However, demand is expected to recover somewhat in North America, China and emerging economies in Asia-Pacific. TZMI has made adjustments to its prices for several feedstock types in Q2 2013 and this will have a flow on effect for TiO2 pigment producers, with a more negative pricing outlook than what was published in Q1 2013.

The major producers of TiO2 pigment are: E.I. du Pont de Nemours & Co; Cristal Global, Huntsman Corporation, Tronox Incorporated, Kronos Worldwide Inc, Ishihara Sangyo Kaisha Ltd and Rockwood Holdings Inc. The major producers of TiO2 feedstock are: Rio Tinto Limited, Iluka Resources Limited, Exxaro Resources Ltd, Cristal Mining Australia, Eramet SA and Kenmare Resources plc.

The TiO2 Pigment Price Forecast is the only independent forward-looking analysis of the prices for titanium dioxide (TiO2) pigment and is published quarterly.

For more information or to order a copy of the TZMI TiO2 Pigment Price Forecast Q2 2013, please visit http://www.tzmi.com

About TZMI

TZ Minerals International(TZMI) is a global, independent consulting and publishing company with offices in Australia, China, the US and South Africa. The strength of TZMI’s consulting services stems from extensive practical experience in the mineral sands, titanium dioxide and coatings industries and from a comprehensive database, which has been built up over many years.

TZMI has proven expertise gained from our consultants having many years of direct operating experience in the industry in chief executive, senior operational, analytical and marketing roles.
TZMI’s publications and data services support the consulting activities and ensure up-to-date, high quality and comprehensive data, analysis and information across the mineral sands, zircon and TiO2 pigment industries.

TZMI provides operational and technical expert advice on many areas including:

  •     Mergers and Acquisitions
  •     Market Assessments and industry analysis
  •     Due diligence
  •     Pre-feasibility studies incl. preliminary capital and operating cost estimation
  •     Competitive cost analysis and benchmarking
  •     Technical reviews and audits
  •     Resource assessments
  •     Physical separation test work
  •     Flowsheet development
  •     Customised data analysis and reporting
FURTHER INFORMATION

Tracey Kelly – BD and Marketing Manager
TZ Minerals International
E: tracey(dot)kelly(at)tzmi(dot)com
P: +61 8 9359 6000


Contact

Attachments