The global Titanium Tetrachloride market was characterized by mixed regional trends. While Asia-Pacific markets was facing challenges due to weak demand and oversupply, the European market was showing signs of strength.

The domestic Titanium Tetrachloride market in China experienced a downturn in the first half of October. Weak demand from the downstream titanium sponge industry, coupled with oversupply, led to a decline in prices. Sponge titanium producers faced significant production pressure, with some reducing output to align with reduced demand. This trend is expected to continue in the short term, further impacting the Titanium Tetrachloride market.

The domestic demand for Titanium Tetrachloride was low, downstream demand was poor, and the market was slow. There was more wait-and-see approach and buyers adopted cautious purchasing behaviour.

China's sponge titanium output in September 2024 had a modest decrease on monthly basis. Market conditions put severe pressure on sponge titanium firms, causing some to reduce output and resulting in an overall decline in production. Due to decreased demand in the downstream titanium market, the sponge titanium sector faced significant operating pressure, with low new orders and an increasing trend in inventories. As a result, Titanium Tetrachloride prices continued to fall. Enterprises suffered losses, and the market was overstocked with finished Titanium Tetrachloride. The short-term outlook for the sponge titanium industry, and thus the Titanium Tetrachloride market, remained negative, with additional firms likely to cut output in October, resulting in a further fall in sponge titanium production.

The Japanese Titanium Tetrachloride market similarly followed a negative trend. The downstream paint and coating industries have reported low demand for Titanium Tetrachloride. Titanium concentrate, an upstream raw material, has provided little support. The market was currently balanced between supply and demand, with sufficient Titanium Tetrachloride to meet downstream needs. The absence of procurement by downstream construction businesses has reduced buyer interest. Lower costs have also resulted from a surplus of Titanium Tetrachloride on the market. In response to declining demand, building companies have been more careful about TiO2 purchase. This observed purchasing pattern reflected current market conditions and the need to align TiO2 purchase with project objectives.

In contrast to the Asian markets, the French Titanium Tetrachloride market exhibited an upward trend. Rising upstream titanium ore prices and steady demand from the construction industry contributed to higher price realizations. However, the overall construction sector remained weak, limiting potential growth.

Despite challenges in certain sectors, the overall demand for Titanium Tetrachloride remained relatively robust. This was driven by its diverse applications across industries such as construction, paint and coatings, and chemicals. The construction industry, a key consumer of Titanium Tetrachloride, continued to face headwinds. Slowdown in activity, employment declines, and low business confidence were limiting demand growth. While the housing market was showing signs of improvement, its impact on overall construction activity is expected to be minimal in the near term.

Looking ahead, the Titanium Tetrachloride prices are expected to continue the bearish trend in China and Japan. Domestic demand may not improve this month. On the other hand, in Europe Titanium Tetrachloride prices are expected to continue their upward trajectory in the domestic market. Festive procurements are likely to remain at their peak from the regional market, resulting in higher prices.