The second half of 2022 proved a difficult period for the global TiO2 industry. Following a very strong first half of 2022, sales decreased dramatically. As underlying demand weakened, customer destocking spread throughout the world, beginning in Europe and Asia and spreading across to the Americas by the end of the year. How are producers across the world responding? The answer is very different for emerging producers in China versus established multi-national producers (MNPs). TiPMC expects this dynamic to continue as the market recovers, lasting well into the foreseeable future.
TiPMC expects demand outside of China in 4Q22 to be 20-25% lower than the same quarter, one year earlier. Sales in the first half of 2023 are expected to improve, relative to the second half of 2022. Destocking among consumers appears to be ending. Key leading indicators point to reduced sales in the first half of 2023, potentially 10-15% below 2022.