The Price Of Titanium Sponge Remains High, And The Demand For Titanium Materials Is Polarized
Recently, the demand for titanium materials in aerospace has been strong, while the civilian market is rather sluggish. China's titanium industry is experiencing an unprecedented structural divergence.
This week, China's titanium market shows a stark contrast. High-end titanium sponge prices continue to remain firm, with the mainstream 0-grade quotation maintained at the range of 52,000-54,000 yuan/ton, marking a year-on-year cumulative increase of over 5,000 yuan/ton.
On the other end, the low-end titanium material market remains sluggish, with civilian titanium prices weakly fluctuating, and downstream demand weakness continuously exacerbating inventory pressure.
I. Market polarization, high-end demand keeps titanium sponge prices high
In the third week of June 2025, China's titanium market continued to have obvious structural differentiation characteristics. Differences in demand across different application areas have become the core force that dominates the price action.
It is reported that the demand for titanium sponge in high-end fields such as aerospace continues to grow, supporting the prices of grade 1 and grade 0 titanium sponge to remain at high levels of 5.0-51,000 yuan/ton and 5.2-54,000 yuan/ton respectively.
In stark contrast to the hot high-end market, the civilian titanium market has fallen into a downturn. Chemical titanium plate is an important field of titanium application, and is experiencing weak demand. The market presents a situation of strong supply and weak demand, downstream factories are cautious in taking goods, and titanium companies are difficult to ship.
2.Through the analysis of the whole industrial chain of titanium materials, the price trend of titanium is clearly differentiated
a.Titanium ore raw materials have declined under multiple pressures.
As the origin of the titanium industry chain, the titanium concentrate market has continued to perform weakly this week. Domestic small and medium-sized titanium ore prices have slightly declined, with the 46% titanium concentrate transaction price in the Panxi region dropping to 1,700-1,730 yuan/ton, and large-scale 47% bulk material transactions around 2,000 yuan/ton. The market faces high pressure from new orders and inquiries, with a strong atmosphere of caution.
b. The degree of cold working and hot working in the titanium material processing field is uneven.
The titanium market is generally stable but shows significant internal structural divergence. Military and civilian prices remain highly polarized, with TA1 titanium ingots priced at 58-60 yuan/kg and TC4 priced at 67-68 yuan/kg.
Major breakthroughs have been made in the high-end titanium material field. Baoji has added processing capacity and has successfully mass-produced aviation-grade 0.02mm ultra-thin titanium foil with a width of 670mm, filling a domestic gap with an annual production capacity of 3,000 tons. This product will be directly applied to the avionics system of the domestic large aircraft C919, as well as in high-end fields such as new energy battery separators.
In terms of bar and wire products, Baoji Company has introduced top-tier Italian equipment to build an annual production line of 5,000 tons of titanium alloy precision wire, covering high-end demands such as aerospace fasteners and titanium powder raw materials for 3D printing.
With the advancement of the domestic large aircraft CR929 development and the surge in demand for fusion materials, Chinese titanium enterprises are achieving a leap from "following" to "keeping pace" and then to "leading" in the high-end field. The reaction of the capital market has already shown early signs-the titanium sector has surged by 13.52% year-to-date, significantly outperforming the broader market.
Regarding the market trends next week, high-end titanium sponge prices will remain strong supported by aerospace demand, while titanium dioxide will continue to fluctuate at low levels under dual pressure of export restrictions and weak domestic demand. The differentiated market structure will not change, and only those companies that find their positioning in technological innovation and market transformation can win the future in this change.
