In 2020, titanium is still a good“Match” to trouble

The titanium industry will never forget that the titanium market from 2005 to 2007 made a lot of money for most people. The price of sponge titanium rose from the lowest 40,000 yuan per ton in 2004 to nearly 300,000 yuan per ton, this is because the production of titanium sponge and downstream demand for a serious mismatch formed a seller's market. From 2008 to 2018, the price of titanium sponge collapsed to as low as more than 40,000 yuan per ton (with a single contract of 38,000 yuan per ton, said to be an“Oolong finger” of a cash flow shortage during the spring festival) , really is“Where to go back to where”, this situation is still the chain upstream and downstream mismatch into a buyer's market. Titanium sponge price from nearly 300,000 yuan/ton to 40,000 yuan/ton, not a bad titanium market prospects but the“Match” is not good to cause trouble. Since 2008, the price of titanium sponge has fallen for 10 years. The market demand has increased from a few thousand tons in 2004 to over 60,000 tons. The market demand has increased about 20 times, but the price has dropped 6-7 times.

Ten years of wind and rain titanium market, side growth side sad. After 2016, the price of titanium sponge gradually rose from a minimum of 40,000 yuan per ton to 68,000 yuan in 2018 and 81,000 yuan per ton in 2019, this situation is also the industry chain“Matching” problems. Titanium in 2020 how, some people in the industry to covid-19 epidemic, overseas“Russia-turkey Syria” local war, Saudi Arabia oil slump combined, there is a negative titanium market pessimism. In fact, this situation is still caused by the mismatch of the industrial chain, and even can be said that the“Match” is also often encountered on the industrial chain“Virus”!

The market is still there

2020 was an unusual year, with outbreaks, the russian-turkish-syrian war, the collapse of Saudi oil, the global stock market crash... ... that a bigger economic crisis could break out since 2008. Therefore, the business is not easy to do, the money is not easy to make, the titanium market depression argument appeared? . is the titanium market really down? Since the price of titanium sponge gradually fell in 2008, the market demand is still growing steadily, can say the market is not good. Conclusion: the market is still very good, because the output exceeds the market demand. Rare things are precious, and many suffer.

In the year of Gengzi, the outbreak of epidemic, local war, oil crash, stock market circuit breaker, etc. , which does not affect the titanium market! Titanium is still sunny, demand is still growing, the market is still there, the trajectory has not changed.

Matching causes annoyance the law of the market reappears

Believe it or not, the titanium market is out there. Whether you like it or not, the outlook for titanium remains positive.

In 2020, the epidemic situation can not change the needs of the development of titanium market in entity enterprises. What can change is the mood, because the market law will certainly control the industrial chain“Match” imbalance brought about by the price system changes. Perhaps some enterprises themselves do not do well will be attributed to the cause of the epidemic and so on.

Why does saying“Match” bother you? Because the match is not good will inevitably lead to a prominent contradiction between supply and demand.

Since 2016, the price of titanium sponge has gradually“Climbed” from 40,000 yuan per ton to 68,000 yuan in 2018 and 81,000 yuan since 2019, an increase of 90% . Eight months ago, the reporter in the research article analysis of 80,000 or so prices should be suspended for a period of time, and even fall. At present, the actual transaction price of titanium sponge at least 3000 yuan/ton lower than the offer, or even lower.

Matching needs scientific and reasonable to achieve the“Good horse with a good saddle” effect. If the production of high-quality enterprises in the industry, the market this invisible hand will still give you profits, get icing on the cake. If enterprises only increase production, do not pay attention to improve quality or do not have to improve the quality of the core, then the invisible hand of the market will let you know what is called“The market does not believe in tears”, the outcome is naturally worse.

In 2020, the titanium market is still stable to good, supply and demand will further affect the trend, and titanium industry prospects will be in all fields quietly bloom!