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Titanium tetrachloride enter into high profits model

Aug.13 2018      Source:ruidow

Keywords:titanium tetrachloride

In the third quarter of last year, titanium tetrachloride prices entered the downside all the way but in the third quarter of this year, the price of titanium tetrachloride rose steadily and gradually climbed back to its highest level in nearly a year. In addition to rising prices, its profit margins are increasing at the same time.An important reason for the price increase of titanium tetrachloride last year is the cost of its raw material price rising, and this year's price increase of titanium tetrachloride is mainly due to the supply and demand imbalance caused by the reduction of supply . Under the cost-driven pricing model, product prices are rising, but their profit growth is relatively limited, sometimes able to offset cost pressures. This year, driven by its demand, the titanium tetrachloride industry has achieved price increases without increasing costs, and its profit growth is even more impressive.

At present, the price of titanium tetrachloride in China has increased from 6050 yuan / ton at the beginning of the year to 7000 yuan / ton, while the price of raw materials 92% high titanium slag has dropped from 6700 yuan / ton to about 6000 yuan / ton. It can be said that in this round of market, the profits have been very rich. At present, some domestic titanium tetrachloride enterprises have suspended production because of environmental inspection, while those enterprises that can normally produce catch up with the good market and make a lot of profits. Titanium tetrachloride supply will increase after the environmental inspection, but considering the current strong demand, we believe its price can remain high in the near future, the high profit will continue.

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