04. Deep game between volume price deviation and technological differentiation of titanium dioxide
Profit data is the most accurate measure of the actual strength of this' quantity price deviation '. In the first quarter of 2026, the overall profit of the tio2 industry showed a clear differentiation pattern of "high-tech varieties can withstand, low tech varieties cannot withstand".
According to the financial data of various listed companies in the first quarter, LB Group achieved a net profit attributable to its parent company of 187 million yuan, a year-on-year decrease of 72.74%, but turned a loss on a month on month basis; Huiyun Titanium Industry recorded a net profit attributable to the parent company of -7.6056 million yuan during the same period, a year-on-year decrease of 174.15%; Jinpu Titanium Industry's net profit attributable to the parent company was -28.4083 million yuan, a year-on-year decrease of 84.66%; Lubei Chemical's net profit attributable to the parent company was 56.56 million yuan, a year-on-year increase of 57.07%.
The net profit of top enterprises of Titanium dioxide rutile has improved month on month, while small and medium-sized enterprises continue to suffer losses, revealing the unique nature of this round of "price increases against the trend" - the industry's prosperity is polarized, with high-end production capacity enjoying profit dividends through technological barriers and product bargaining power, while low-end production capacity is struggling to survive under the dual pressure of cost and demand.
Between weak domestic demand and pressure to release production capacity, exports are becoming the core channel for China's titanium dioxide industry to break through.
From January to April 2026, the cumulative export of titanium dioxide was 730300 tons, a year-on-year increase of 12.53%. Among them, the export of sulfuric acid titanium dioxide was about 551700 tons, a year-on-year increase of 5.88%; The export of chlorinated titanium dioxide was about 178600 tons, a year-on-year increase of 39.63%. The growth rate of chloride method TiO2 varieties far exceeds that of sulfuric acid method - this high-speed growth is not only reflected in the expansion of export volume, but also in the logic of structural substitution: domestic chloride process titanium dioxide is effectively replacing European and American products in the global market share with various advantages such as quality, supply stability, and localized services.
During the same period, the import volume of titanium dioxide was only 20600 tons, a significant decrease of 24.67% year-on-year, and the import volume of chloride titanium dioxide decreased by 19.32% year-on-year. The data of increased exports and decreased imports indicate that China's titanium dioxide industry is moving from a "capacity bearer" to a "global capacity leader". India has lifted its anti-dumping duties on China by the end of 2025, further benefiting export growth.
05. The rebound of the economic downturn and the logic of "similar electrolytic aluminum"
By mid-2026, mainstream institutions' assessment of the titanium dioxide sector has undergone significant changes.
Data shows that the price of titanium dioxide has rebounded, and it is believed that the industry's prosperity has bottomed out and the company's performance is expected to recover.
The government work report proposes a cumulative reduction of 17% in carbon dioxide emissions per unit of GDP during the 15th Five Year Plan period. Some chemicals (including titanium dioxide) may follow the logic of "electrolytic aluminum", and the valuation system may be restructured. It is suggested to focus on "high carbon emission, high energy consuming industries, leading enterprises, and green materials".
The upward trend in the price of titanium dioxide is driven by the rigid growth of sulfuric acid on the cost side, with no significant room for reversal in the short term. However, the coexistence of weak demand and high prices will cause the titanium dioxide market to enter a stage of "high-level consolidation and small order exploration" from mid year to the third quarter.
The future trend of titanium dioxide highly depends on the progress of three core logics: in the short term, the pace of sulfuric acid price decline - whether the high cost pressure on the raw material side can be alleviated from mid year to the third quarter; Mid term assessment of the sustainability of export orders - whether the structural substitution of chlorinated varieties can continue to accelerate; In the long run, can the carbon emission constraint logic of "electrolytic aluminum like" industry upgrade path bring about the reconstruction of supply side logic and the reshaping of valuation system for the titanium dioxide industry.
The 'counter trend tide' since 2026 may seem like a short-term phenomenon of rising raw material costs, but it actually reflects the transformation pains of an industry facing profound changes.
For small and medium-sized manufacturers, the yellow light of the sulfuric acid method has been on - the obvious constraints of environmental restrictions and raw material price increases have forced them to retreat from "capacity competition" to "survival game".
For leading enterprises, price increases are not the goal, but a necessary step to seize the high value-added technology highland - the global chlorination process market is accelerating the formation of a new track, and this cost driven price reassessment will determine the "seat table" of the global titanium dioxide industry pattern in the next five years.
The traditional demand logic based on "real estate coatings titanium dioxide" is weakening, while the new growth momentum driven by "export substitution chlorination penetration high-end product globalization" is releasing increasingly clear price resilience and economic support. The cost dilemma is temporary, but industry reshaping is eternal. The enterprise that completes the leap ahead in this transformation will see a broader future.