01 September 2010 06:44 [Source: ICIS news]
SINGAPORE (ICIS)--Two major producers have announced October price hikes for all its titanium dioxide (TiO2) grades sold in the Asia-Pacific on the back of tight supply and rising demand, market players said on Wednesday.
US TiO2 major DuPont Titanium Technologies said in a statement on 1 September that it would increase its Asia-Pacific prices for all grades by $150/tonne (€118.50/tonne), with effect from 1 October.
Separately, Japan’s Ishihara Sangyo Kaisha (ISK) also announced on 1 September a $150/tonne price hike for TiO2 sold in the Asia-Pacific, scheduled to take effect from 1 October.
A source from ISK said the initiative was necessary to improve the company’s margins for re-investments and to ensure a stable supply of TiO2 to its customers.
Other major producers had also initiated price hikes for Asia Pacific recently. Those hikes were within the range of $150–200/tonne and were scheduled to take effect in August and September.
Since December 2009 major producers have made several TiO2 price hikes in Asia citing global tight supply and strong demand.
Some buyers told ICIS that they were already having difficulties in passing on the earlier price increments to their customers and further hikes would make that even harder.
Spot TiO2 prices in Asia were last assessed at $2,550–2,700/tonne CFR (cost & freight) Asia on 28 August, ICIS data showed.
TiO2 is a white pigment used in products such as paints, coatings, plastics, paper, inks, fibres and cosmetics.
($1 = €0.79)
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