TiO2 Fluctuation: Demand Increase, Big Populations and Environmental Policy
Two known grades of Titanium Dioxide (TiO2) are called rutile and anatase. The industries that consume the most TiO2 are paints and coatings. In paints and coatings, durability and weatherability are essential when it comes to quality. Rutile segment is preferably used in those industries since it is coated to maintain weatherability yet has less percentage of TiO2. Rutile makes end products more durable and higher in quality. However, from 2016 to 2021, the anatase segment of the global TiO2 market is projected to develop at the highest Compound Annual Growth Rate (CAGR).
Anatase may apply better in paper manufacturing because it is less coarse to the machines of papermaking. It also applies for masterbatch, as well as other broad ranges of plastics such as PVC and PE. The market for this higher percentage of TiO2 segment is predicted to grow higher due to the increasing demand for titanium dioxide, especially in the paints and coatings industries.
The global titanium dioxide application in the paints and coatings is expected to grow the most significant CAGR during the forecast period. Fast development in the automobiles and construction industries are predicted to fulfil the demand for paints and coatings consumption. In addition, TiO2 lengthens paints durability and acts protective to the substrate in paints and coatings. TiO2 usage is applicable in most kinds of paints and coatings products to give a sense of opacity and aesthetics.
The Titanium Dioxide Market in Asia-Pacific Region is projected to expand at the highest CAGR from the year 2016 to 2021. The significantly increasing population of this region is one of the main factors of the expansion. Moreover, the consumptiveness of the people also affects this economic growth. Increasing demand in main countries with the biggest populations such as China and India also take parts of the growth of the region’s TiO2 market.
At the same time, major TiO2 manufacturers in China has been experiencing shortage due to their government’s new environmental regulations. Some of the biggest plants have totally shut down their productions. Meanwhile, others remain in 30-60% capacity. One of the plants just had a fire accident, just like what happened with one of Europe’s biggest TiO2 manufacturers two months ago. Those cases have caused a significant increase of not only TiO2 price but also other raw materials. This may lead to inflations of many human needs.