PVC inventory to be digested, small rebound of PVC wait-and-see as the main small rebound. On April 1st, the small rebound of PVC was the main reason for the news of the main tax cut, and the small rebound of PVC social inventory level was the main reason for the sufficient supply, coupled with the fact that the real estate terminal had not yet centralized procurement of raw materials. The main contract of PVC was about 1905, which closed at 6410, with a small rebound and wait-and-see ratio of PVC and small rebound and wait-and-see ratio, up 0.08% from last week.

1. Macroscopic aspect

1.1 The small rebound of PVC at the beginning of PMI in Markit Manufacturing Industry in March in the United States was the main reason to create a new low of nearly two small rebounds of PVC.

In March, the small rebound of PVC in PMI of Markit manufacturing industry in USA was 52.5, and nearly two small rebounds of PVC were the new low. In March, the small rebound of PVC in PMI of Markit manufacturing industry in the United States was 52.5, which was the lowest since June in 2017, with an expectation of 53.5, while that of pre-PVC was 53. Among them, the output sub-index of PVC slightly rebounded to 51.6 at the beginning, and reached a new low since June 2016 when PVC slightly rebounded to wait-and-see. In March, the small rebound of PVC in Markit service industry was 54.8, with a forecast of 55.5, while that in former PVC was 56. In March, the small rebound of PVC in Markit comprehensive PMI was 54.3 and 55.5 respectively. The Federal Reserve maintained the Federal Funds Rate at 2.25% – 2.50%, and expected a small rebound in US PVC as the main index to bear pressure.

1.2 Sino-US economic and trade negotiations are conducive to the strengthening of the RMB

The RMB exchange rate has entered the Sino-US trade negotiation framework, and the RMB exchange rate will further strengthen. U.S. Trade Representative Letterheiser and Treasury Secretary Mnuchin will visit China and hold the eighth round of high-level economic and trade consultations between China and the United States on March 28 and 29. In early April, Vice Premier Liu He will be invited to visit the United States to hold the ninth round of high-level economic and trade consultations. Currently, the RMB exchange rate has entered the Sino-US trade negotiation framework, which means that the two largest economies in the world have expressed their policy intention of stabilizing the RMB exchange rate. Considering that the small rebound of PVC is the main trend of China’s macroeconomic operation, there will be no risk of economic stall. In addition, under the background that the scale of foreign capital inflows into domestic capital market tends to expand, the balance of payments can maintain its own balance, and the RMB exchange rate is also strongly supported. It is expected that the RMB exchange rate will further strengthen.

1.3 In February, the whole society of China mainly watched the slight rebound of PVC for electricity consumption. The slight rebound of PVC for electricity consumption was 7.2% longer than that of the same period.

In February, the National Energy Bureau released the main data of the slight rebound of electricity-using PVC in the whole society. In February, the slight rebound of electricity-using PVC in the whole society was 489.1 billion kWh, while the slight rebound of PVC in the same period was 7.2%. From January to February, the whole society mainly watched the slight rebound of electricity-consuming PVC, totaling 11.63 billion kilowatt-hours, while the slight rebound of electricity-consuming PVC was 4.5% longer than that of the previous year. In the primary industry, 11 billion kilowatt-hours of electricity-consuming PVC rebounded slightly compared with the same period of last year, 7.9% of the total; in the secondary industry, 7.59 billion kilowatt-hours of electricity-consuming PVC rebounded slightly, 1.2% of the total; and in the tertiary industry, 1.5% of the total was 1994 billion kilowatt-hours of electricity-consuming PVC.

2. Supply and demand analysis

2.1 Calcium Carbide Market Supply Stability

The start-up rate of PVC plant by calcium carbide method is stable, and there is no obvious change in the small rebound and wait-and-see of the spot supply of PVC. Demand-side large and medium-sized enterprises have little change in start-up, small enterprises generally start-up, upstream enterprises and traders flexibly reduce the small rebound of PVC wait-and-see to promote shipment. Carbide market PVC small rebound wait-and-see as the main character of a small rise, carbide supply PVC small rebound wait-and-see as the main low, some processing enterprises gradually recovered.

2.2 The supply side has not changed much.

The overall production of PVC enterprises is stable, the vinyl PVC market maintains stable operation, Ningbo Hanhua resumes its work, and other enterprises produce normally. Ethylene PVC plant was upgraded due to the rework of Hanhua in Ningbo. The calcium carbide PVC plant was normally manufactured and no maintenance arrangements were issued for the time being. Inventory level of upstream enterprises showed signs of warming up. The strength of inspection and repair in March is more obvious than that in February, and the supply side mainly has a small rebound and wait-and-see of reducing PVC.

2.3 Downstream enterprises start to resume gradually

Demand in the north is weakening, overall stability in the south is maintained, downstream large enterprises are still operating at a high level, and parking is sporadic in small industries. Large downstream enterprises started construction steadily, the overall stock-up intention was not strong, and purchasing was the main demand. After the Spring Festival holiday, downstream construction began to recover gradually. The small rebound of PVC in 2019 was mainly in the middle of March. The terminal operation rate of the main consumption areas in North China, East China and South China gradually rose to a relatively high level. The preparatory work for the start of peak season was basically completed, and the terminal has not yet centralized purchasing of raw materials.

3. Technical Analysis

PVC low shock, small rebound. From the K-line chart of contract date of main contract V1905, it can be seen that the small rebound of PVC is mainly blocked near 6600. DAILLINE GREEN CONVERGENCE OF MACD GREEN COLUMN. The small rebound of PVC trading remained active, closing near 6400. Short-term pressure was formed on the 12th and 26th day averages, with strong support at 6100 points below.

In a word, in March, the small rebound of PVC in PMI of Markit manufacturing industry in the United States was 52.5, and nearly two small rebounds of PVC were the new low. At the same time, the RMB exchange rate has entered the Sino-US trade negotiation framework, and the RMB exchange rate will further strengthen, which will exert certain pressure on commodities.

Fundamentally, the small rebound of PVC on April 1st was the main reason for the news of the main tax cut. The small rebound of PVC in the short run was the main reason. The small rebound of PVC in the social inventory level was the main reason for the small rebound of PVC, and the supply was sufficient. In addition, due to the fact that the real estate terminal had not yet centralized the purchase of raw materials, the small rebound of PVC formed a certain pressure for the main character, and the rebound pressure of PVC was comparatively high. Major wait-and-see.

Yonhap News Agency reported on March 25. On Monday, South Korea’s foreign ministry said it would discuss with the United States this week the issue of extending South Korea’s exemption from sanctions on Iranian oil imports. To this end, officials from the Ministry of Foreign Affairs, the Ministry of Trade, Industry and Energy, the Ministry of Economy, Finance and the Department of Oceanography and Fisheries of South Korea will meet with Assistant Secretary of State for Energy, Francis Fannon, and other relevant officials in Washington, D.C., on March 28, U.S. time. A South Korean ministry official said: “Since November last year, we have discussed with the United States to extend the United States’exemption from Iran’s oil sanctions. If the exemption of sanctions is not extended, it means that South Korea cannot import Iranian condensate oil. He said stopping importing this key raw material would have an impact on the Korean economy as Korean companies rely heavily on Iranian condensate for petrochemical production.

In February, propylene imports increased significantly and reached the highest level since January 2018. The import volume of Korea and Taiwan of China has increased significantly, which is the main source of the substantial increase in import volume. In the latter stage, the equipment maintenance situation in Asia will gradually increase, so propylene imports may be expected to decline.

In February 2019, China imported 296,432.704 tons of propylene, an increase of 13.44% over January and 22.16% over February 2018. The average import price was $949.86 per ton, up 1.35% from January and down 12.02% from February 2018.

From the point of view of the source countries and regions, Korea is still the main source of imports. In February, the total import volume was 12752.526 tons, accounting for 43%. Taiwan ranked second, with imports totaling 77,900 tons in February, accounting for 26%. Japan ranked third, with imports totaling 56 285.221 tons in February, accounting for 19%.

From the point of view of the source countries and regions of imports, Korea’s imports in February increased by 10213.744 tons, an increase of 8.74%, compared with January’s, while Taiwan’s imports in February increased by 8549.4 tons, an increase of 12.33%. It can be seen that the main source of the increase in propylene imports in February was South Korea and Taiwan, China, while propylene imports in Japan were basically flat.

From the point of view of trade mode, the proportion of general trade is relatively large. In February, the total import volume was 25791.774 tons, accounting for 87%. The total import volume of import processing trade in February was 38527.463 tons, accounting for about 13%.

Forecast for future market

Propylene plant spring overhaul season is approaching, China has many devices into the overhaul, Japan and South Korea and other places also have some devices such as LG, Hanhua, YNCC, Chuangguang Xingyi, Mitsubishi have entered or will soon enter the overhaul, propylene supply will gradually reduce, which will have a certain impact on the import of propylene. Propylene imports in the second quarter are expected to decrease annually compared with the first quarter, which will benefit the domestic propylene market to a certain extent.

Official U.S. statistics show that total U.S. coal exports in 2018 were 104.9 million tons, up 19.3% from 2017, the second highest level in history. Among them, India is the largest buyer of power coal in the United States, while Brazil is the largest buyer of metallurgical coal in the United States.

According to the data, total U.S. metallurgical coal exports in 2018 were 55.8 million tons, up 11.3% from last year, the highest level since 2014. Among them, the total export volume of Brazil was 7.6 million tons, an increase of 14.9% over 2017, the total export volume of Netherlands was 5.6 million tons, an increase of 82.5% over the same period of last year, and the total export volume of Japan was 5.4 million tons, an increase of 20.4% over the same period of last year. According to statistics, the largest metallurgical coal export areas in the United States are Norfolk, MoBayer and Baltimore.

Meanwhile, in terms of power coal, the total export volume of power coal in the United States in 2018 was 49.1 million tons, up 29.8% from last year, the highest level since 2012. India, South Korea and the Netherlands are respectively the top three buyers of power coal in the United States. Among them, the total amount of power coal exported to India in 2018 was 10.5 million tons, up 53% from 2017; Korea 5.8 million tons, up 9.6% from last year; Netherlands 5.6 million tons, up 3.2% from last year.

New Orleans is the largest power coal export region in the United States. Exports reached 17.6 million tons in 2018, up 75% from 2017, followed by 10.1 million tons in Baltimore, up 9.5% from last year, and 6 million tons in Seattle, up 10.6% from last year.

According to the latest news from PetroChina, 14 ultra-deep and ultra-high pressure complex condensate gas fields such as Dina and Tazhong No. 1 have been successfully developed in its Tarim Oilfield, and the largest production base of ultra-deep condensate oil and gas has been built. By 25 th, it has produced 1.066 billion square meters of natural gas, 24.77 million tons of condensate oil and light hydrocarbons, and has become the world leader in the development of deep complex condensate gas fields.

It is reported that condensate oil and gas are rich in aromatic hydrocarbons, light hydrocarbons and other scarce hydrocarbon components, and are urgently needed high-end petrochemical raw materials in the national military and civilian fields. Global condensate oil and gas resources are mainly distributed in Central Asia, Russia and North America, with buried depths ranging from 1500 meters to 4000 meters, belonging to shallow atmospheric pressure gas reservoirs, while China is mostly deep condensate gas reservoirs, with more than 80% of its proved reserves concentrated in the Tarim Basin.

The efficient development of ultra-deep and ultra-high pressure complex condensate reservoirs has no successful experience at home and abroad, which has been regarded as a worldwide problem. Since 2008, PetroChina has continuously set up projects to tackle key problems, innovated the non-equilibrium phase percolation theory of ultra-high pressure condensate gas, solved the difficult problems of gravity overlap prediction and gas channeling control, realized the continuous and stable production of condensate oil, revealed the distribution law of high-yield areas in strong geostress and heterogeneous gas reservoirs, and innovated the high-efficiency development technology and mode of ultra-deep and ultra-high pressure complex condensate gas reservoirs to achieve 590 million tons. Effective utilization of hard-to-recover reserves has overcome the bottlenecks of key engineering technologies such as clean completion, well integrity, high-pressure and long-distance mixed transportation in the development of ultra-deep and ultra-high pressure condensate gas fields, which provides support for industrial scale application.

At present, this set of innovative theory and technology has been popularized in the development of Sinopec and CNOOC condensate gas fields, which has supported the development of overseas Aksai condensate gas reservoir in Kazakhstan, Duvone condensate gas reservoir in North America and high-end technical cooperation of Umshaev offshore project in the United Arab Emirates, and has established China’s leading position in the development of deep complex condensate gas fields in the world.

The China Petroleum Enterprise Association recently released the Blue Paper of China Oil and Gas Industry Development Analysis and Prospect Report (2018-2019) in Beijing. The Blue Book shows that in 2018, China’s oil enterprises’overseas oil and gas rights and interests output exceeded 200 million tons, reaching 201 million tons of oil equivalent. Meanwhile, China’s oil and gas external dependence has reached a double high level, with oil external dependence approaching 70% and natural gas external dependence rising to 45.3%.

China’s overseas oil and gas rights and interests output exceeded 200 million tons

The Blue Book points out that in 2018, China’s oil enterprises’overseas oil and gas rights and interests output exceeded 200 million tons, reaching 201 million tons of oil equivalent, an increase of 3.7% over 2017, including 160 million tons of equity crude oil and 50 billion cubic meters of equity natural gas.

While making great strides in overseas oil and gas business, the three major state-owned oil companies have actively implemented asset optimization strategies, shifting their focus of operation from more focus on scale development to more focus on efficiency. It is not only the diversification of investment fields, but also the diversification of China’s overseas oil and gas investment. The pace of “going out” of private enterprises is gradually accelerating. The data show that there are more than 30 oil and gas enterprises in China, and more than 200 oil and gas projects in more than 50 countries in the Middle East, the Americas, Central Asia and Africa. While promoting the economic and social development of countries along the lines, they also effectively guarantee China’s energy supply security.

In 2018, China’s petroleum enterprises continued to deepen oil and gas cooperation. Large-scale projects such as Kazakhstan’s Kashagan Oilfield, Brazil’s Ribera Oilfield and Yamal LNG in Russia progressed smoothly. They successfully acquired Abu Dhabi’s oil assets, won bids for oil fields in Iraq, Brazil and other countries, signed LNG supply orders with Qatar, and completed modernization and upgrading of two refineries in Kazakhstan. We will soon build the East Sino-Russian Natural Gas Line.

Oil and Gas External Dependence

According to the Blue Book, crude oil processing capacity and apparent oil consumption exceeded 600 million tons, oil dependence was close to 70%, natural gas consumption continued to grow strongly, and external dependence rose to 45.3%.

In 2018, China’s apparent oil consumption reached 648 million tons, an increase of 6.95% over the previous year; domestic crude oil production declined for the third consecutive year to 189 million tons, a decrease of 1.3% compared with the previous year, a decrease of 1.9 percentage points; crude oil processing reached 606 million tons, an increase of 67% compared with the previous year; refined oil production reached 360 million tons, an increase of 36% and net export of refined oil re-innovated. It reached 46.08 million tons, an increase of 12.8% compared with the previous year.

In 2018, China’s natural gas consumption continued to maintain strong growth. After China became the world’s largest importer of crude oil in 2017, it surpassed Japan in 2018 and became the world’s largest importer of natural gas. The net import of crude oil reached 460 million tons in the whole year, an increase of 10.9% compared with the previous year, and the dependence on oil increased to 69.8%. The import of natural gas reached 90.385 million tons, an increase of 31.9% compared with the previous year, and the dependence on oil increased to 45.3%. It is estimated that in 2019, China will import 143 billion cubic meters of natural gas and increase its dependence on natural gas to 46.4%.

In the downstream area, in 2018, China’s new refining energy expansion momentum is strong, the speed and extent of backward capacity elimination is not as expected, the crude oil processing capacity increased by 22.25 million tons per year, exceeding 50% of the global net increase capacity, the total refining energy increased to 830 million tons per year, and the average operating rate of national refineries was 72.9%, the lowest in the world. It is expected that in 2019, with the successive production of large-scale local private refining and chemical projects, China’s crude oil processing capacity will increase by 32 million tons per year and its surplus capacity will reach 120 million tons per year.

The Game of Global Oil and Gas Order Reconstruction enters a new stage

Influenced by supply and demand changes in the world oil market and geopolitical tensions, international oil prices show a slow upward trend. According to the Blue Book, the momentum of world economic growth has weakened, the game of restructuring the global oil and gas order has entered a new stage, and the international oil price has shown a broad fluctuating trend.

In 2018, the growth rate of world GDP was 3.7% in terms of purchasing power parity (PPP) and 3.2% in terms of market exchange rate. The growth rate was the same as that of the previous year, but the momentum of growth began to weaken and the possibility of future downward growth increased. Brent and WTI crude oil futures averaged 71.69 US dollars per barrel and 64.90 US dollars per barrel, up 31% and 27.6% year-on-year respectively, driving the overall recovery of the oil and gas industry. In 2018, the United States became the world’s largest producer of oil and gas. With the rapid growth of oil and gas exports, its influence on the global oil and gas market has increased significantly.

In 2018, the world oil and gas market as a whole showed a recovery trend, with investment in exploration and development increased by 5% to 472 billion US dollars, global oil supply increased to 99 million barrels per day, oil consumption increased by 1.58% compared with the same period last year, global oil and gas production increased by 1.7% and 4.5% respectively, compared with the previous year, and oil and gas production in North America increased by 1.7% and 4.5% respectively. Compared with the previous year, it increased by 12.6% and 9.1% respectively, which is the main area of oil and gas production growth in the world.

In 2018, global natural gas consumption was 3.86 trillion cubic meters, up 5.3% from the previous year, 2.3 times the average growth rate in the past five years. Global trade in natural gas is 1.21 trillion cubic meters, an increase of 7.1% compared with the previous year, of which LNG trade is 326 million tons, an increase of 9% compared with the previous year, twice the increase of pipeline gas. LNG exports in the United States totaled 21.15 million tons, up 63% year-on-year. With the rapid growth of LNG spot market, the process of natural gas market globalization is accelerating, and consumers are more selective.

The Blue Book predicts that in 2018, the competition pattern of world petroleum refining industry will further deepen, the refining capacity in Asia will decline, the profits in European refining market will be low, and the start-up rate and processing capacity of American refineries will increase slightly. Looking forward to 2019, the downward pressure of international oil prices is great, global demand for LNG is increasing day by day, spot LNG prices will continue to climb, the expansion rate of world refining capacity will slow down, and the industrial center will continue to move eastward.

Japan’s oil refiners are expected to stop importing crude oil from April because of U.S. sanctions on Iranian crude oil, Kyodo News Agency reported on March 22. But he looked forward to the negotiations between the Japanese and American governments, hoping to continue importing Iranian crude oil.

In November 2018, the United States launched an embargo on Iranian crude oil production, but excluded some countries, such as Japan, from the application, and granted a limited exemption in early May this year. Yuega said it was “not sure whether the exemption would last” and pointed out that it would be difficult to transport from April if the time required for transportation and completion of the transaction were taken into account.

Reported that Japan’s refiners are prepared to replace procurement from other oil producing countries, is not expected to affect the stability of supply. For the crude oil market that affects the price of gasoline, Japanese media analysis is not likely to cause a sharp rise in the price of crude oil due to the supply capacity of other major oil-producing countries.

Yuegang said: “Whether the exemption can continue depends on the idea of President Trump, Sino-US trade frictions and the situation of oil-producing countries will have a complex impact on their judgment. We can only pay attention to it.

In July 2015, Iran reached a comprehensive agreement on the Iranian nuclear issue with the six countries on the Iranian nuclear issue (the United States, Britain, France, Russia, China and Germany). According to the agreement, Iran promises to limit its nuclear program and the international community will lift sanctions against Iran.

In May 2018, President Trump announced that the United States would withdraw from the Iranian nuclear agreement. In August, the United States restarted a series of non-energy sanctions on Iran’s finance, metals, minerals and automobiles, and said it would restart the remaining sanctions in November. Iran strongly condemns the U.S. sanctions decision.

On November 5 last year, the United States formally imposed what the Trump administration called the “toughest sanctions ever imposed” on Iran. But U.S. Secretary of State Pompeo said on the same day that eight countries or regions in China, India, Greece, Japan, Turkey, Taiwan, Italy and South Korea were granted temporary exemptions for Iranian crude oil imports.

Yesterday, the overall rebound of PVC in domestic PVC market will continue to restrict the price of polyolefins to rise due to high inventory. V1905 futures continued to rise high, falling after breaking the 40-day and 60-day average. The overall rebound of shrinking PVC will continue to restrict the upstream and downward warehouse closing of polyolefin. From the perspective of PVC enterprises, some of the enterprises in different regions have risen sharply, and some of the overall rebound up to 200 PVC will continue to be restricted by high inventory. The overall rebound of PVC will continue to be restricted by high inventory. Others have not yet introduced a new comprehensive rebound of PVC will continue to be restricted by high inventory, and the overall rebound of PVC will continue to be restricted by high inventory. Olefin ascending measures. From the spot market point of view, the overall rebound of PVC in the main markets will continue to be high inventory, which will restrict the upward trend of polyolefins. In addition to some factories, the overall rebound of PVC in eastern and southern China will continue to be high inventory, which will restrict the upward trend of polyolefins. Especially, the overall rebound of low PVC will continue to be high inventory, which will restrict the upward trend of polyolefins. From the downstream products enterprises’point of view, the inquiry was good at the beginning of the week. Some of the enterprises seeking low PVC rebound will continue to restrict the moderate replenishment of polyolefin upstream due to high inventory. However, there is a certain queuing phenomenon in the supply of polyolefin, and there is an embarrassing situation in the market where there is no goods to be delivered. At present, the overall rebound of mainstream PVC of calcium carbide process 5 will continue to be restricted by high inventory. The overall rebound of polyolefin will continue to be restricted by high inventory. The overall rebound of polyolefin/PVC will continue to be restricted by high inventory. The overall rebound of ethylene material mainstream reference 6600-7050 PVC will continue to be restricted by high inventory. The overall rebound of polyolefin/PVC will continue to be restricted by high inventory. Up and down of polyolefin, the overall rebound of high-type supply PVC will continue to restrict the overall rebound of 100-150 PVC on polyolefin, and will continue to restrict the overall rebound of polyolefin / PVC on polyolefin on high inventory will continue to restrict the overall rebound of polyolefin on polyolefin.

It is anticipated that the domestic PVC market will maintain a high level of consolidation today, and individual enterprises will have an upward operation. It is anticipated that the overall rebound of 30-50 PVC will continue to be restricted by high inventory and the overall rebound of polyolefin/PVC will continue to be restricted by high inventory.

Productive factors: individual downstream enterprises start-up load drop or temporary stop, but not affect the demand for calcium carbide, calcium carbide overall supply shortage, multi-underground calcium carbide procurement of PVC overall rebound will continue to restrict the high inventory of polyolefin up to achieve 100 PVC overall rebound will continue to restrict the high inventory of polyolefin up/PVC overall rebound will continue to restrict the stock of polyolefin up-rise; PVC enterprises in Shandong area are booming, some enterprises in northwest area are waiting for the introduction of new PVC comprehensive rebound will continue to restrict polyolefin upstream with high inventory; businessmen are still bullish on the future market, some have a certain mentality of reluctance to sell; some PVC enterprises have been overhauled in the near future, the shortage of PVC enterprises is difficult to alleviate in the short term.

The negative factors: the overall rebound of PVC in social stocks will continue to be high, which will restrict the rise of polyolefins. There are more arrivals in East China and obvious inventory pressure. Although V1905 received red yesterday, the momentum of increase was weakened, some funds profit left the market, and many long-term funds closed in the day. The overall rebound of PVC in downstream products enterprises will continue to be high, which will restrict the initial rise of polyolefins. Most of the period has replenishment operation, the overall rebound of high PVC market will continue to restrict the high inventory of polyolefin upstream trading resistance highlighted.

Other factors: changes in business mentality.

According to statistics provided by the General Administration of Customs, in February 2019, China imported 8404.44 tons of titanium dioxide, a decrease of 2.81% and 32.43% year-on-year; imported 20842.34 tons in January-February, a decrease of 27.6% year-on-year; exported 64629.84 tons of titanium dioxide in February 2019, a decrease of 7.86% and 7.57% year-on-year; and exported 134556.59 tons in January-February, a decrease of 3.37% year-on-year.

Wang Shouwen, Vice Minister of Commerce and Deputy Representative of International Trade Negotiations in 2019, in response to “whether China accepts progressive tariff cancellation as part of the agreement”, pointed out that the heads of state of China and the United States have reached an important consensus, and established the principle and direction of abolishing all the tariffs imposed on each other. Any implementation mechanism must be bidirectional, fair and equal.

If all of the above are achieved, the export of titanium dioxide from China to the United States and even to the Americas will be substantially promoted.

According to the data reported by Yan Tieyun, the total export volume of China’s titanium dioxide to the United States in 2017 is about 46.2 million tons, accounting for 5.6% of the total export volume; the total export volume of China’s titanium dioxide to the United States in 2018 is about 51.7 million tons, accounting for 5.7% of the total export volume, an increase of 11.9% over 2017.

Due to the abnormal level of US tariffs, titanium dioxide in China has lost its original price advantage, and the first choice of American users has gradually become the second and third choice. Even so, the export of titanium dioxide to the United States is still growing. China’s titanium dioxide production capacity and output keep increasing, some of the output restrained and digested by the United States is gradually replaced by high-speed developing countries such as Southeast Asia. In 2018, China’s total exports of titanium dioxide to the United States are not open-ended growth, and we can expect a large-scale demand in the future.

Yan Titanium industry analyst Yang Xun believes that if tariffs return to a reasonable height, China’s titanium dioxide exports will return to the dominant price range, which is more conducive to the U.S. and the surrounding countries and regions with the U.S. as the center of the trade environment. The high cost-performance ratio of the international market may help us find more channels and users, which will fuel the profit and bullish market in the beginning of 2019.