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.
| EDTA |
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.
| Melamine |