Resumen de Environmental inspections hit Chinese TiO2 supply
Lower production rates following months of governmental inspections is leading to reduced supply in TiO2 and its downstream segments, with coatings manufacturers among the worst affected.
The series of environmental controls across the TiO2 industry in China led to low operation rates for local producers and tightening supply for some products, prompting market participants' concern over the effect on market prices.
Despite September is normally a peak season for TiO2 products sales in China, the average operation rate for TiO2 companies was only around 50% this summer, due to interruptions related to the environmental inspections.
According to China TiO2 Association, the spate of controls is not only affecting TiO2or a specific province but, rather, it spreads across all provinces and industries including TiO2's downstream segments the like of coatings, plastics, oil, ink and paper.
