Painting & Coating Industry (PCI) logo Powder coating summit logo
  • Sign In
  • Create Account
  • Sign Out
  • My Account
  • NEWS
  • PRODUCTS
  • MATERIALS
  • TECHNOLOGIES
  • RESOURCES
  • EVENTS
  • DIRECTORIES
  • EMAGAZINE
  • CONTACT
  • SIGN UP!
cart
facebook twitter linkedin youtube
  • NEWS
  • Latest News
  • Market Trends & Reports
  • Price Alerts
  • Subscribe to eNewsletters
  • Global Top 10/ PCI 25
  • Weekly Featured Article
  • COATLE Word Game
  • PRODUCTS
  • Product News
  • Must See Products and Services
  • MATERIALS
  • Additives
  • Resins/Polymers
  • Pigments
  • Equipment
  • Distributors
  • TECHNOLOGIES
  • Adhesives
  • Architectural Coatings
  • FINISHING
  • Industrial Coatings
  • Nanotechnology
  • Powder Coatings
  • Solventborne
  • Special Purpose Coatings
  • Sustainability
  • UV Coatings
  • Waterborne
  • FINISHING
  • Finishing News
  • Finishing Technologies
  • Finishing Equipment
  • Finishing Today
  • RESOURCES
  • Columns
  • Blogs
  • Coatings Supplier Handbook
  • Podcasts and Videos
  • PCI Store
  • Classifieds
  • eBooks
  • Sponsor Insights
  • White Papers
  • COATLE Word Game
  • Columns
  • Ask Joe Powder
  • Did you know?
  • Distribution Dive
  • Focus on Canada
  • Formulating With Mike
  • Innovation Insights
  • Moody's Coatings Conundrums
  • Powder Coating Perspectives
  • Target the Market
  • TiO2 Insider
  • Blogs
  • Editor's Viewpoint
  • Industry Insights
  • Podcasts and Videos
  • COAT-IT! Podcast
  • Videos/PCI TV
  • EVENTS
  • Coatings Trends & Technologies Summit
  • Paint and Coatings Academy
  • Webinars
  • Calendar of Events
  • Lifetime Achievement Award
  • DIRECTORIES
  • Buyer's Guide
  • Equipment Directory
  • Materials Directory
  • EMAGAZINE
  • Current Issue
  • eMagazine Archive
  • China Issue Archive
  • Editorial Advisory Board
  • CONTACT
  • Contact Us
  • Advertise
  • Subscribe to eMagazine
  • Subscribe to eNewsletters
Painting & Coating Industry (PCI) logo Powder coating summit logo
search
cart
facebook twitter linkedin youtube
  • Sign In
  • Create Account
  • Sign Out
  • My Account
Painting & Coating Industry (PCI) logo Powder coating summit logo
  • NEWS
    • Latest News
    • Market Trends & Reports
    • Price Alerts
    • Subscribe to eNewsletters
    • Global Top 10/ PCI 25
    • Weekly Featured Article
    • COATLE Word Game
  • PRODUCTS
    • Product News
    • Must See Products and Services
  • MATERIALS
    • Additives
    • Resins/Polymers
    • Pigments
    • Equipment
    • Distributors
  • TECHNOLOGIES
    • Adhesives
    • Architectural Coatings
    • FINISHING
      • Finishing News
      • Finishing Technologies
      • Finishing Equipment
      • Finishing Today
    • Industrial Coatings
    • Nanotechnology
    • Powder Coatings
    • Solventborne
    • Special Purpose Coatings
    • Sustainability
    • UV Coatings
    • Waterborne
  • RESOURCES
    • Columns
      • Ask Joe Powder
      • Did you know?
      • Distribution Dive
      • Focus on Canada
      • Formulating With Mike
      • Innovation Insights
      • Moody's Coatings Conundrums
      • Powder Coating Perspectives
      • Target the Market
      • TiO2 Insider
    • Blogs
      • Editor's Viewpoint
      • Industry Insights
    • Coatings Supplier Handbook
    • Podcasts and Videos
      • COAT-IT! Podcast
      • Videos/PCI TV
    • PCI Store
    • Classifieds
    • eBooks
    • Sponsor Insights
    • White Papers
    • COATLE Word Game
  • EVENTS
    • Coatings Trends & Technologies Summit
    • Paint and Coatings Academy
    • Webinars
    • Calendar of Events
    • Lifetime Achievement Award
  • DIRECTORIES
    • Buyer's Guide
    • Equipment Directory
    • Materials Directory
  • EMAGAZINE
    • Current Issue
    • eMagazine Archive
    • China Issue Archive
    • Editorial Advisory Board
  • CONTACT
    • Contact Us
    • Advertise
    • Subscribe to eMagazine
    • Subscribe to eNewsletters
  • SIGN UP!
TiO2 InsiderCoronavirus Coverage

TiO2 and the Coronavirus

By Gerald Colamarino, Managing Director, TiPMC Solutions, Nashville, TN
TiO2 and the Coronavirus
March 23, 2020

The TiO2 industry, like the rest of the world, finds itself coping with the coronavirus epidemic in China. Any unfortunate economic news impacting China is not good for the global economy. Yet, disrupted Chinese production is welcomed by other global producers.

Transportation and logistics are a nightmare. Getting any supply chain to function properly is very difficult. TiO2 feedstock producers are mostly located in Sichuan, while TiO2 and coatings production is focused on the east coast. Products and workers are limited in travel.

Chinese production comes into question. Estimates are that industrial production in China is currently in the 50-60% range. In 2019, China was a net exporter of TiO2 of 775ktonnes. Chinese producers account for approximately 2.4Mtonnes of the estimated 6Mtonnes sold in 2019. The net impact appears favorable for producers outside China.

TiPMC estimates that 2020 feedstock imports into China will be reduced by nearly 700ktonnes vs. 2018, an approximate 30% reduction, as production from mines is declining. Assuming Chinese plants can operate, procuring local feedstock will be extremely difficult, and anything that is available will be priced at a premium.

Global demand is still driven from Asia (Figure 1). The impact of the coronavirus is really going to test the dependency on Asian and European economies on China. Slower economies mean slower TiO2 demand. The U.S. is much more insulated, as housing in the U.S. is strong. Germany, for example, will feel a stronger economic impact from decreased Chinese economic activity as they rely on exports of high-end equipment and auto sales to the Chinese market to help drive their economy.

Global demand is still driven from Asia
FIGURE 1

Regarding the Chinese housing market, according to Bloomberg, Chinese real estate is on course to experience a bigger drop than during the 2003 SARS pandemic. Shenzhen has reportedly banned all forms of home sales over the rise of infections in the sub-provincial city.

As housing is critical to stimulate overall economic activity in China, most observers believe the central government will move to stimulate housing as the crisis subsides, in order to stimulate economic activity in order to restart economic growth.

 

What Does This Mean?

TiPMC sees potential for a variable impact relative to time – positive, some negative mixed in, but a net positive over time.

TiPMC also projects TiO2 growth in APEC to be in the 5-6% annual growth rate over the next five years. Given its large current share, volume increases are significant over this period of time.

 

What’s Next?

TiPMC believes this scenario sets up the TiO2 industry for a roller coaster impact throughout the next several months. The implications of a weaker Chinese economy will be involved in a balancing act with reduced Chinese production and increasing Chinese production costs.

TiPMC believes the United States and to some degree Latin America will be more insulated, but as this accounts for about 25% of TiO2 demand, the impact of the virus will still impact global demand.

The counter to the economic downturn is the likely action by the Chinese government as the impact of the coronavirus subsides. Demand for key raw materials for housing and infrastructure, such as TiO2, should experience rapid demand growth. The traditional Chinese “golden season” of September and October may prove to be especially strong this year.

Most observers believe the short-term impact of the coronavirus will not extend beyond early summer. The Chinese TiO2 industry may lose some weaker participants as some balance sheets may not be able to recover.

How will the Chinese industry impact the rest of the world post-coronavirus? TiPMC looks at the impact of China on the TiO2 market.

 

How Will China Impact the TiO2 Industry in the New Decade?

Over the last 20 years, China has greatly impacted to TiO2 industry. Consumption within the country has grown from 50ktpa to approximately 1600ktpa, while TiO2 suppliers grow to nearly 2.4Mt of production, from a near-zero base. It is unlikely this type of growth will continue, but what is the role of China in the new reality of the TiO2 world?

TiPMC offers these thoughts:

•   Chloride technology development is a focus in China. 2019 saw a step change in chloride production, with growth of nearly 35%, reported as slightly greater than 200ktpa.

•   Lomon Billions is progressing faster in chloride production than Chinese competitors. Their first line began production in 2016, reaching about 60% of the nameplate 100ktpa. Another 100ktpa line began operation in 2019, with a third scheduled for this year. The Xinli plant, a 60ktpa facility that was never operated successfully, was recently purchased by Lomon Billions, along with upstream chloride slag and titanium metal facilities (Figure 2).

upstream chloride slag and titanium metal facilities
FIGURE 2

•   Sulfate expansion has slowed, but not stopped. The largest portion of growth has come from increased “available capacity” of sulfate operations in China, measured as actual capacity vs. nameplate that is not achievable.

How is this affecting the global marketplace for TiO2? Recent price increase announcements outside of China were largely differentiated between sulfate and chloride product. In the export market, Chinese chloride is reportedly being positioned at higher pricing levels than non-Chinese chloride and below multi-national producer chloride levels. Customers are trialing material, and pricing will be based on performance vs. available alternatives (Figure 3).

Customers are trialing material, and pricing will be based on performance vs. available alternatives
FIGURE 3

India serves as an interesting example. Over the past 10 years, India has shown the largest growth in TiO2 imports vs. anywhere else in the world. Yet, the Chinese share of imports peaked in 2015.

How are multi-national producers (MNPs) responding? This is yet to be seen, but there are some early indications. As part of the Tronox acquisition of Cristal, Tronox is now the second largest, vertically integrated global producer. As part of the acquisition, they now operate a sulfate TiO2 plant in China, in Fuzhou, with reported capacity of 45ktpa. Tronox has stated its intention to expand from this base in China. The impact on local producers, particularly those less competitive, will be closely watched. Recent rapid increases in sulfate feedstock costs for these producers have stressed earnings, with no relief in sight.

As Chinese chloride grows, sulfate producers outside China, particularly those in Europe, are likely to come under intense pressure. Reports of potential assets being closed are prevalent, while the competitiveness of several assets come into question. TiPMC estimates that nearly 210ktpa was closed in the last decade outside of China. This trend is likely to continue through the 2020s.

The timing of Chinese chloride growth seems to be more in question than if it will occur. The rate of growth will likely mirror the experiences of the MNPs, over 30 years ago. Lomon Billions is without question the most progressed chloride producer, with the progress of others still in question. What is certain is that Chinese chloride growth will be a major focus of the industry, its suppliers, and customers, in the coming decade. 

KEYWORDS: covid19 TiO2

Share This Story

Looking for a reprint of this article?
From high-res PDFs to custom plaques, order your copy today!

By Gerald Colamarino, Managing Director, TiPMC Solutions, Nashville, TN

Recommended Content

JOIN TODAY
to unlock your recommendations.

Already have an account? Sign In

  • pci1022-Kinaltek-Lead-1170.jpg

    A Novel Pigment Production Technology

    Following an extensive R&D program that demonstrated...
    Paint and Coating Pigments
    By: Jawad Haidar and Nitin Soni
  • pci global top 10

    2025 Global Top 10: Top Paint and Coatings Companies

    The following is PCI’s annual ranking of the top 10...
    Global Top 10 and PCI 25
    By: Courtney Bassett
  • 2025 pci 25

    2025 PCI 25: Top Paint and Coatings Companies

    PCI's annual ranking of the top 25 North American paint...
    Paint and Coating Market Reports
    By: Courtney Bassett
You must login or register in order to post a comment.

Report Abusive Comment

Manage My Account
  • eMagazine
  • eNewsletter
  • Online Registration
  • Subscription Customer Service

The Coatings Minute: Print Returns with PCI’s New Showcase Issue

The Coatings Minute: Print Returns with PCI’s New Showcase Issue

The Coatings Minute: Your Inside Look at PCInnovations

The Coatings Minute: Your Inside Look at PCInnovations

CTT Registration Now Open

CTT Registration Now Open

The Coatings Minute: Your Guide to the 2025 Coatings Supplier Handbook

The Coatings Minute: Your Guide to the 2025 Coatings Supplier Handbook

More Videos

Sponsored Content

Sponsored Content is a special paid section where industry companies provide high quality, objective, non-commercial content around topics of interest to the PCI audience. All Sponsored Content is supplied by the advertising company and any opinions expressed in this article are those of the author and not necessarily reflect the views of PCI or its parent company, BNP Media. Interested in participating in our Sponsored Content section? Contact your local rep!

close
  • Modern arapartment complex painted in bright colors.
    Sponsored byEPS - Engineered Polymer Solutions

    Architectural Polymers Leading the Way in Coatings Innovation

  • paint sprayer in a workshop
    Sponsored byallnex

    Enabling Performance and Compliance: allnex Introduces a New Line of VOC Exempt Solvent-Borne Resins

Popular Stories

No. 3 AkzoNobel

AkzoNobel’s $1.4B Divestment Signals Strategy Shift

PCI voices from the top

eBook | PCI Voices from the Top

pci global top 10

2025 Global Top 10: Top Paint and Coatings Companies



PCI Buyers Guide

Submit a Request for Proposal (RFP) to suppliers of your choice with details on what you need with a click of a button

Start your RFP

Browse our Buyers Guide for manufacturers and distributors of all types of coatings products and much more!

Find Suppliers

Events

September 3, 2025

Coatings Trends & Technologies Summit

The Coatings Trends & Technologies (CTT) Summit is an annual conference for both liquid and powder coatings formulators and manufacturers to discuss innovations in coatings technology. This event combines high-quality technical presentations, a resource-rich exhibit hall, and dedicated networking opportunities to connect scientific minds, foster innovation, and cultivate game-changing new ideas!

January 1, 2030

Webinar Sponsorship Information

For webinar sponsorship information, visit www.bnpevents.com/webinars or email webinars@bnpmedia.com.

View All Submit An Event

Poll

Longest-running laboratory experiment

What is the longest-running laboratory experiment?
View Results Poll Archive

Products

CTT Summit Short Courses (Live 9/3/25)

Coatings Trends & Technologies Summit is expanding its offerings with four short courses. These short courses will offer an extensive day of interactive learning.

See More Products
pci voices from the top ebook

PCI CASE EBOOK

Related Articles

  • pci1222-TIO2-669596876-1170.jpg

    TiO2 Industry: Where is the Light at the End of the Tunnel?

    See More
  • TiO2 Producers Believe the Worst is Behind – and the Future is Bright

    TiO2 Producers Believe the Worst is Behind – and the Future is Bright

    See More
  • pci1222-TIO2-669596876-1170.jpg

    Over-Capacity and Tariffs Weigh Heavily on the Chinese TiO2 Industry

    See More

Related Products

See More Products
  • Kevin-Biller-PC-BOOK.jpg

    Powder Coatings - Foundation for the Novice Formulator (ebook)

See More Products
×

Keep the info flowing with our eNewsletters!

Get the latest industry updates tailored your way.

JOIN TODAY!
  • RESOURCES
    • Advertise
    • Contact Us
    • Directories
    • Store
    • Want More
  • SIGN UP TODAY
    • Create Account
    • eMagazine
    • eNewsletters
    • Customer Service
    • Manage Preferences
  • SERVICES
    • Marketing Services
    • Reprints
    • Market Research
    • List Rental
    • Survey & Sample
  • STAY CONNECTED
    • LinkedIn
    • Facebook
    • Youtube
    • X (Twitter)
  • PRIVACY
    • PRIVACY POLICY
    • TERMS & CONDITIONS
    • DO NOT SELL MY PERSONAL INFORMATION
    • PRIVACY REQUEST
    • ACCESSIBILITY

Copyright ©2025. All Rights Reserved BNP Media.

Design, CMS, Hosting & Web Development :: ePublishing

Painting & Coating Industry (PCI) logo Powder coating summit logo
search
cart
facebook twitter linkedin youtube
  • Sign In
  • Create Account
  • Sign Out
  • My Account
Painting & Coating Industry (PCI) logo Powder coating summit logo
  • NEWS
    • Latest News
    • Market Trends & Reports
    • Price Alerts
    • Subscribe to eNewsletters
    • Global Top 10/ PCI 25
    • Weekly Featured Article
    • COATLE Word Game
  • PRODUCTS
    • Product News
    • Must See Products and Services
  • MATERIALS
    • Additives
    • Resins/Polymers
    • Pigments
    • Equipment
    • Distributors
  • TECHNOLOGIES
    • Adhesives
    • Architectural Coatings
    • FINISHING
      • Finishing News
      • Finishing Technologies
      • Finishing Equipment
      • Finishing Today
    • Industrial Coatings
    • Nanotechnology
    • Powder Coatings
    • Solventborne
    • Special Purpose Coatings
    • Sustainability
    • UV Coatings
    • Waterborne
  • RESOURCES
    • Columns
      • Ask Joe Powder
      • Did you know?
      • Distribution Dive
      • Focus on Canada
      • Formulating With Mike
      • Innovation Insights
      • Moody's Coatings Conundrums
      • Powder Coating Perspectives
      • Target the Market
      • TiO2 Insider
    • Blogs
      • Editor's Viewpoint
      • Industry Insights
    • Coatings Supplier Handbook
    • Podcasts and Videos
      • COAT-IT! Podcast
      • Videos/PCI TV
    • PCI Store
    • Classifieds
    • eBooks
    • Sponsor Insights
    • White Papers
    • COATLE Word Game
  • EVENTS
    • Coatings Trends & Technologies Summit
    • Paint and Coatings Academy
    • Webinars
    • Calendar of Events
    • Lifetime Achievement Award
  • DIRECTORIES
    • Buyer's Guide
    • Equipment Directory
    • Materials Directory
  • EMAGAZINE
    • Current Issue
    • eMagazine Archive
    • China Issue Archive
    • Editorial Advisory Board
  • CONTACT
    • Contact Us
    • Advertise
    • Subscribe to eMagazine
    • Subscribe to eNewsletters
  • SIGN UP!