Analysis on China Sponge Titanium Production Data of April 2023

According to the statistics data from TDD, the production of sponge titanium in China in April 2023 was 18,850 tons, a year-on-year increase of 65.35% and a month-on-month increase of 0.16%. The accumulated production of sponge titanium from January to April 2023 was 73,400 tons, a year-on-year increase of 73.6%, with a production increase of about 31,100 tons.

The new and old production capacity of the sponge titanium market was steadily released, and the market supply was good. In April, affected by the downstream market demand, companies had some inventory, and production remained stable. Meanwhile, the production of sponge titanium in April was basically the same as the previous month.

In April 2023, Liaoning Province, Yunnan Province, and Xinjiang Province were the top three regions with the highest sponge titanium production in China, accounting for 30%, 17%, and 13% of the total domestic production respectively.

The market quotation of sponge titanium in April was stable. However, under the pressure of weak downstream demand and declining market prices, there was increased pressure on sponge titanium, and companies experienced a weaker demand for orders, leading to a slight decline in new sponge titanium prices. Recently, the price of raw material, magnesium ingots, has risen again, coupled with the high price of titanium raw materials, sponge titanium remaining a high-level cost. However, with the oversupply of the market, the price of sponge titanium has been running weakly this year.