Shaanxi Yunzhong Industry Development Co.,Ltd
Address: NO.128 Gaoxin Road, Baoji City, Shaanxi Province of China
With the global economic slowdown, weakening demand for titanium, titanium production overcapacity contradiction, the global titanium industry into a new stage of depth adjustment and development. "In 2015, the global output of titanium sponge since the end of 2010 growth, appeared monthly production of titanium sponge down trend, that the world titanium market demand." He said that in the world's top ten titanium producing countries, in addition to India, other countries last year, sponge titanium production fell year on year. According to the data released by the world titanium association, in 2015 the global sponge titanium production decreased by 2.9% in August this year, an increase of production of an increase of 1.9% (to be 13 thousand and 410 tons), the first 8 months of production decreased by 0.9% (to be tons).
In terms of titanium consumption, in 2015 the global apparent consumption of titanium sponge was 110 thousand tons, compared with a decrease of about 3% in 2014, the apparent consumption of major consumer countries mostly decreased. From the price point of view, including China, the global titanium prices for 4 consecutive years showed a downward trend, until February this year, ~3 months before the emergence of a rational return, titanium production rebound. However, the price return is very fragile, demand and production stage of growth is not adjusted, slowing demand growth and excess capacity pressures. To China as an example, although China titanium composite price index (CSPI) from 74 in December last year, the lowest point of 54.48 has rebounded to August this year, the equivalent of March last year, but still higher than the level of April, 1994 (100) low nearly 1/4.
After the rapid development of 10 years, with the adjustment of the economic structure Chinese Chinese, GDP (gross domestic product) investment and consumption elasticity decreased, a future period, titanium industry must adapt to "steady progress". Some people think that the global economy has entered a moderate growth stage, China's economy showed L growth, China's titanium consumption is slowly declining, the future growth will come from India and Southeast Asia, the middle east. However, the increase in demand than supply growth, with the entire titanium market is still showing oversupply of a buyer's market, the contradiction between supply and demand and no relief, "the characteristics of excess supply, lack of demand, the imbalance between supply and demand, high inventory" has not changed.
According to the spot trading platform monitoring data show that this week Taicai inventory to continue Masukura titanium inventory, currently Baoji reached 7 million 309 thousand and 500 tons, an increase of 32 thousand and 700 tons last week. Surrounding market stocks also reached a record high, the total amount of titanium stocks is a continuous refresh record levels. The main market titanium plate inventory of 10 million 565 thousand and 200 tons, an increase of 423 thousand and 700 tons; titanium rod inventory of 5 million 374 thousand tons, an increase of 145 thousand and 300 tons. Under the huge pressure of inventory and capital, business operations to increase the main shipping, thereby increasing the market price pressures.