1. Price analysis
In the second quarter of 2022, the quotation of sponge titanium market remains high, the demand of downstream market is strong, the military market remains stable, the export volume of civilian goods market increases significantly, the inventory of sponge titanium enterprises continues to be low, the new capacity in the market is constantly released, and the overall market demand for sponge titanium increases.
The transaction price of titanium sponge rose twice in the first quarter, at the end of January and the beginning of March respectively, with a cumulative price increase of 4000 yuan/ton. In the second quarter, the price rose at the end of April, with a transaction price increase of 2000 yuan/ton. The current market transaction price is between 74,000 yuan/ton and 78,000 yuan/ton. Raw material magnesium ingot price continued to fall sharply in the second quarter, the end of the quarter compared with the beginning of the quarter of the cumulative decline in the price, sponge titanium cost pressure has been eased, in June half process enterprises have gradually resumed production.
2. Production analysis
According to the statistics of Tuduo, the output of titanium sponge from January to May in 2022 is 55,000 tons, down 8.12% compared with the same period last year, reducing 4900 tons. The output in the first quarter is declining seriously. In the second quarter, with the release of the old and new production capacity of enterprises, the output in May is flat compared with last year.
The top three regions of sponge titanium production from January to May are Xinjiang, Liaoning and Henan, accounting for 20%, 19% and 17% of the total production respectively.
3. Impprt and export data
According to data statistics from Tuduo: From January to May in 2022, China's sponge titanium imports totaled about 6548.9 tons, up 66.37% compared with the same period last year, an increase of 2612.6 tons.
The main import countries are Japan, Kazakhstan and Ukraine.
From January to May 2022, the total export volume of sponge titanium was about 748.2 tons, up 45.71% and 234.72 tons compared with the same period last year.
The main export areas are Holland, Korea and Spain
4. Expressive consumption
The apparent consumption of titanium sponge in China from January to May 2022 was 609,797,100 tons, a decrease of 4% compared with the same period last year.
5. Market outlook forecast
In the second quarter, the market was affected by the "Russia-Ukraine War", and the international demand for titanium sponge increased. At present, the impact of the war is still continuing, and the market demand will be maintained, and the export of titanium sponge will maintain considerable data. Domestic titanium sponge enterprises have all resumed operation, the market supply has increased, the downstream demand remains strong, the enterprise inventory is mostly at a low level, and it is reported that the enterprise will maintain stable price, the sponge titanium market price in the third quarter will continue to operate at a high level.
