[SMM Titanium Spot Flash: Titanium Dioxide Prices Surged Strongly, Titanium Concentrate Came Under Pressure and Pulled Back, with Cost Support and Inventory Dynamics Dominating the Market] This week, prices in China’s titanium dioxide market continued to rise, with anatase and rutile grades raised by 400 yuan/mt and 150 yuan/mt, respectively. Multiple enterprises withheld sales after closing orders, and bullish sentiment remained strong in the market. Sulphuric acid prices continued to climb, with the SMM smelting acid index reaching 1,235.5 yuan/mt, providing strong cost support. Meanwhile, titanium concentrate prices dropped back slightly, as elevated inventory in the Panxi region, combined with titanium dioxide enterprises pushing for lower prices, led ore prices for 46% and 47% grades to be cut by 50 yuan/mt, respectively. Overall, titanium dioxide remained firm on cost support, while titanium concentrate was constrained by inventory and price-cut pressure, leaving the market in a diverging trend.

[SMM Titanium Weekly Review: Cost-Driven Titanium Dioxide Price Hikes Took Effect, Market Adjustments Released Upward Signals] This week, the titanium industry chain showed a divergent trend. The titanium concentrate market remained in the doldrums, with imported ore prices falling लगातार under pressure from downstream efforts to push for lower prices and accumulating port inventory. Titanium dioxide, meanwhile, saw the second round of collective price adjustments in mid-month under persistently high sulphuric acid costs. Mainstream enterprises in China raised domestic prices by 500 yuan/mt and export prices by $100/mt, pushing the quoted center up to 14,000-14,500 yuan/mt, though follow-up from domestic demand remained mediocre and foreign trade orders showed clear divergence. The titanium slag market stayed in the doldrums, with prices under pressure amid weak costs and demand. In the titanium sponge market, leading enterprises took the lead in raising prices, with domestic prices up 2,000 yuan/mt and international prices up $300/mt. Supported by restocking demand for titanium materials and low inventory, the market showed a strong willingness to hold prices firm, but downstream processing segments still maintained a wait-and-see stance, and titanium ingot and titanium plate/strip prices only edged up slightly. Overall, cost support and structural demand divergence coexisted, and future price trends still depended on substantive improvement on the supply and demand side.

[SMM Titanium Spot Flash: Imported Titanium Ore Market Remained Under Pressure, Sluggish Port Sales Forced Traders to Cut Prices for Shipments] SMM News, March 19: Imported titanium ore prices remained under pressure today. Quotations for Mozambique-origin titanium concentrate with TiO₂≥46% were 1,670-1,730 yuan/mt, down 30 yuan from yesterday; quotations for Nigeria-origin titanium concentrate with TiO₂≥50% were 1,780-1,830 yuan/mt, down 25 yuan from yesterday; quotations for Australia-origin titanium concentrate with TiO₂≥50% were 1,830-1,880 yuan/mt, down 25 yuan from yesterday.

[SMM Titanium Spot Update: High Costs Drive a Second Titanium Dioxide Price Increase Within the Month, While Diverging Domestic and External Demand Tests the Sustainability of the Hike] In mid-March, titanium dioxide enterprises in China collectively issued a second round of price increase notices within the month, raising domestic prices by 500 yuan/mt and export prices by $100/mt, mainly because elevated sulphuric acid prices forced cost pass-through. At present, enterprises are operating at full capacity, but mediocre domestic demand and foreign trade constrained by geopolitical factors have intensified market divergence. Expectations of tighter sulphuric acid supply still support confidence to hold prices firm, but the sustainability of the price increase remains to be verified by follow-up demand.

[SMM Titanium Weekly Review: Titanium Dioxide Showed Signs of Recovery; Diverging Strength Across the Titanium Industry Chain Market This Week] This week, the titanium industry chain in China showed pronounced structural divergence, with the tug-of-war between sellers and buyers across upstream and downstream segments intensifying and cost pass-through facing obstacles. Overall, the sector was characterized by a combination of weak recovery and localized strong support. Trading in upstream titanium ore and titanium slag was sluggish. Downstream processing enterprises tightly controlled costs, with procurement consistently maintained at a pace driven by rigid demand. Coupled with inventory at high levels across the industry, the raw material end remained under pressure, enterprises’ willingness to operate stayed weak, capacity release was constrained, and the supply-demand imbalance continued to stand out. In the midstream titanium dioxide segment, pressure from elevated costs of raw materials and energy sharply increased production-side strain. Enterprises held prices firm and showed a strong willingness to sell, and while domestic trade demand did not see a noticeable increase in volume—relying only on rigid-demand support—overseas markets still demonstrated a certain degree of resilience, leaving the overall market running relatively strong. The downstream sponge titanium and titanium products segments performed impressively: sponge titanium inventories remained low, and, together with robust downstream restocking demand, top-tier enterprises proactively adjusted prices, with enterprises showing strong confidence in holding prices firm. The titanium products market saw stable supply and demand: the supply-side operating rate was steady, while demand-side differentiation was evident. Civilian applications were mainly driven by rigid-demand restocking, while orders in high-end fields such as aerospace and military industries were steady. The market recovered steadily, and differences in the pace across segments of the industry chain also set the tone for subsequent market dynamics.

[SMM Titanium Spot Flash Report: Titanium Ore Prices Fell Under Pressure From High Inventory, While Sponge Titanium Saw a Strong Increase Supported by Supply and Demand] On March 11, SMM reported that titanium ore prices weakened slightly, with relatively high inventory weighing on the market; supported by restocking demand, enterprises raised sponge titanium quotes and showed a strong willingness to hold prices firm.

In 2025, driven by supply contraction and multiple demand growth , the global sulfur market saw supply-demand mismatch throughout the year, with prices rising sharply to new highs in recent years. Entering 2026, sulfur’s byproduct nature will constrain supply; Russia’s supply recovery will be slow; the Middle East will centrally control prices; the resonance of rigid demand from spring plowing and new energy “scrambling for sulfur,” together with heightened shipping risks in the Strait of Hormuz, will drive the global sulfur market to continue in a tight balance, keep the price center at elevated levels, and further reshape the regional supply-demand pattern. 2025 Review: Widening Supply-Demand Gap, Sharp Price Increase (I) Supply Side: Pronounced Rigid Contraction, Intensified Regional Supply Divergence According to the SMM survey, current global sulfur capacity is approximately 85 million mt. The entire industry is operating at close to full capacity, but incremental growth is limited, with annual production at around 80 million mt. As the core of global sulphur supply (with total Middle East production accounting for over 30% of the global total), some resources are prioritised for local markets and emerging markets such as Indonesia (long-term contracts first + high-price diversion). Resources exported to traditional demand countries have been heavily diverted, exacerbating tightness in resource circulation. Meanwhile, Russia, as a core global sulphur producer, has shifted from a net exporter to a net importer due to the Russia-Ukraine war. Coupled with shipping disruptions, geopolitical disturbances, and capacity release falling short of expectations, globally circulating resources remain persistently tight, driving sulphur prices higher. (II) Demand Side: Stable Traditional Rigid Demand +Growth in Emerging New Energy, with a Significant Increase in Total Volume In 2025, global sulfur demand presented a dual-engine pattern of “traditional rigid demand providing a floor, and emerging demand surging”: agriculture remained the largest consumption mainstay, with phosphate fertiliser production at its core forming a solid base of demand; traditional chemical demand such as titanium dioxide and caprolactam grew steadily; the new energy track saw explosive growth , becoming the core engine boosting incremental sulfur consumption. Together, these three sectors drove total sulfur demand to keep rising, in stark contrast to the rigid contraction on the supply side caused by its oil-and-gas associated nature. Compared with previous years, the most notable change in the global sulfur market in 2025 was the explosive growth in new energy demand, which had become the central driver of incremental demand. Sulfur consumption in the new energy sector was highly concentrated in two major tracks—LFP and mixed hydroxide precipitate (MHP)—and formed a clear global regional division of labor: LFP production was highly concentrated in China, while MHP was focused in Indonesia; the two production hubs jointly dominated sulfur demand for new energy. Against the backdrop of an accelerating global green energy transition, China’s NEV and energy storage industries have continued to expand. Leveraging core strengths of high safety, long cycle life, and significant cost advantages, LFP has become the preferred cathode material for large-scale energy storage and NEVs, boosting the continued expansion of domestic capacity. According to the SMM database, global LFP production reached 3.77 million mt in 2025, of which China accounted for 3.75 million mt , representing more than 99%, corresponding to a boost in total sulfur demand of over 3 million mt . Meanwhile, relying on world-class laterite nickel ore resource endowments, Indonesia has vigorously developed HPAL hydrometallurgy, converting low-grade nickel ore into high value-added battery-grade nickel raw materials (MHP). By extending the industry chain and enhancing product value-added, it has become deeply embedded in the global power battery supply chain. According to the SMM database, Indonesia’s MHP production reached 443,900 mt Ni in 2025 , directly boosting sulfur consumption by over 5 million mt; and after planned capacity comes on stream in 2026, Indonesia’s share of global MHP capacity will further rise from 67% to 77% , becoming the most explosive source of incremental sulfur demand globally and a key variable reshaping global sulfur trade flows. Outlook for 2026: The Supply-Demand Gap Further Widens, and Prices Hover at Highs In 2026, the global sulfur market further maintained a tight balance, with supply growth failing to keep pace with demand growth and the supply-demand gap widening further, becoming the core factor supporting prices fluctuating at highs. （I）Supply Side: Limited Growth, Constrained by Multiple Factors As a by-product of oil and gas extraction and refining, sulfur’s supply capability is highly dependent on the level of activity in global crude oil and natural gas production, while also being directly affected by geopolitical conditions, the smoothness of international shipping, and changes in trade policies. Disruptions at any stage will significantly impact the stability of global sulfur supply, the pace of price movements, and the distribution of trade flows. In 2026, the global sulfur supply side will exhibit operating characteristics of “ constrained growth and a diverging regional landscape .” According to the SMM survey, incremental global sulfur supply in 2026 was only about 2.6 million mt, including about 500,000 mt in China and about 2.1 million mt in the Middle East. According to the International Energy Agency (IEA), under the long-term trend of the global energy transition, global refining capacity and crude oil throughput are expected to enter a peak plateau around 2035 and then gradually pull back, which will fundamentally constrain the long-term growth potential of sulphur supply. According to the SMM survey, global crude oil demand growth in 2025 only remained at around 1%, with relatively weak growth momentum. As the core producing region for high-sulphur crude oil globally, the Middle East saw OPEC+ confirm a temporary pause in production increases in Q1 2026, further suppressing upstream supply elasticity. Meanwhile, Iran has long been subject to US sanctions, with crude oil production and exports continuously constrained. The most-traded refineries in Russia continued to come under impact, with both production stability and logistics channels significantly affected; sulphur output and export capacity were sharply constrained and are expected to be difficult to recover in H1 2026, further exacerbating the tight globalised sulphur supply landscape. In early 2026, geopolitical conflicts in the Middle East intensified, and shipping risks in the Strait of Hormuz rose markedly ; nearly 50% of global sulfur trade volumes passed through this corridor. Vessel detours, longer voyages, and a sharp rise in war-risk insurance premiums directly pushed up the landed cost of sulfur. In 2025, Middle East sulfur FOB prices climbed from about $170/mt at the beginning of the year to the latest level of about $520/mt , an increase of more than 200%. Meanwhile, continued turmoil in the Red Sea further extended shipping cycles and lifted overall import costs. Disrupted logistics and rising costs created dual pressure, reducing effective market circulation and slowing the pace of arrivals, becoming a key factor supporting sulfur prices fluctuate at highs. The natural gas sector brought marginal improvement to supply: according to the latest quarterly report released today by the International Energy Agency (IEA), global natural gas demand in 2025 was about 1.3% . As a substantial increase in LNG supply eased market fundamentals and drove strong demand growth in Asia, global demand growth in 2026 will accelerate to about 2% . New projects in the US, Canada, and Qatar will come on stream in succession, and LNG supply is expected to increase by 7%, i.e., 40 billion m³. With natural gas consumption rising steadily, sulfur production as a by-product of natural gas desulfurization will increase accordingly, providing some supplementation to overall supply. According to the SMM survey, global sulphur production growth slowed to 2.28% in 2025. In 2026, supply-side expansion will be limited, and supply growth will remain at a low level, with total annual supply expected to reach 82-83 million mt. (II)Demand Side: New Energy-Driven, with Continuous Structural Optimization Global sulphur demand in 2026 will sustain strong growth, with demand growth significantly outpacing supply growth . The key drivers are underpinned by rigid agricultural demand and a growth in incremental growth from new energy. According to the SMM survey, global phosphate fertiliser consumption will grow steadily at an annual rate of about 1.6%. As the largest downstream demand segment for sulphur, it provides a solid foundation for the overall market; demand in the chemical sector will also expand steadily at an annual rate of about 4%–6%. The most noteworthy incremental growth in 2026 will come from the concentrated ramp-up across the global new energy industry chain. According to the SMM database, newly built and commissioned LFP capacity in China in 2026 will exceed 2.5 million mt ; together with the release of existing capacity, the industry’s effective capacity is expected to surpass 9 million mt, driving a sharp increase in demand for high-purity sulphuric acid and sulphur. Meanwhile, Indonesia’s nickel hydrometallurgy projects are accelerating, adding about 400,000 mt Ni of new MHP capacity. Based on its sulphur intensity of as high as 11.7 mt, this will generate incremental sulphur demand on the order of 1 million mt, creating a global “competition for sulphur” alongside global phosphate fertiliser, traditional chemicals, and new energy materials, further exacerbating tight global sulphur supply. SMM has launched SMM CIF Indonesia Sulfur and Sulfur (Solid) price assessments for market reference. SMM CIF Indonesia Sulfur Definition:CIF Indonesian main ports; Quality: Sulfur 99.5% min, Particle; Price Origin: Indonesia. Sulfur (Solid) price Definition: Ex-works, China; Quality: Sulfur（S) 99.00% min，conforming to GB/T 2449-2006; Price Origin: China.

[SMM Titanium Weekly Review: Titanium Market Diverged Post-Holiday, Titanium Dioxide Led Gains While Titanium Products Steadily Recovered] This week, the titanium industry chain showed divergent performance. Titanium concentrate operated steadily, with mines awaiting new March orders. Sentiment for titanium dioxide price hikes remained strong, led by the chloride process; high sulphuric acid costs supported expectations for price increases, though actual implementation still depends on demand follow-through. Titanium slag was in the doldrums, under cost pressure, with prices consolidating at the bottom. Sponge titanium saw weak supply and demand, prices held steady, and future performance relies on downstream restocking to boost recovery. The titanium products market recovered steadily, mainly driven by rigid demand restocking, and is expected to stabilize next week.

Pre-holiday, titanium concentrate prices softened amid weak downstream demand, while titanium dioxide saw inventory draws and price support from exports and pre-holiday restocking. Sponge titanium stabilized with export-led growth. Post-holiday demand will guide price trends across the chain.

Iron phosphate prices rose by ¥500/ton, yet ¥409 of this was offset by surging raw material costs. Tight supply in sulfur and titanium dioxide sectors drove up input expenses, making this hike a cost pass-through with little real profit gain for producers.