The prospect of titanium dioxide industry integration small enterprises is worrying

wallpapers Industry 2020-12-09

in October 2014, China Nuclear titanium dioxide Co., Ltd. acquired 25% equity of Wuxi Haopu Titanium Industry Co., Ltd. through its wholly-owned subsidiary Anhui Jinxing titanium dioxide (Group) Co., Ltd.

in October 2014, Cristal announced that it would acquire titanium dioxide business of Jiangxi Tianguang Chemical Co., Ltd. The acquisition was completed in January 2015, involving asset and equity transactions.

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in June 2015, Henan Bailian announced the acquisition of Sichuan longmang group by 9 billion yuan. After the strong combination of the two, the production capacity reached 630000 tons, becoming the fourth largest titanium dioxide enterprise in the world, next to DuPont 1170000 tons, Huntsman 902000 tons and Coste 778000 tons, occupying the absolute leading position in the domestic industry.

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reorganization, merger and acquisition is the general trend of titanium dioxide industry integration. In the tide of reorganization, merger and integration, "small enterprises" have a bad prospect. For small titanium dioxide enterprises and traders struggling at the break even point, it is difficult. First, with the strict "zero tolerance" of the national environmental protection policy; second, the downward market price and the "position" of the market gradually In the process of restructuring, M & A and optimization of industrial structure have always been regarded as an important measure to solve the contradiction in titanium dioxide industry. Since the beginning of the 21st century, Cristal spent $1.2 billion on the acquisition of Millennium organic Since then, DuPont titanium dioxide science and Technology Division has been separated from DuPont group and listed independently. In October 2014, China Nuclear titanium dioxide company acquired 25% equity of Wuxi Haopu Titanium Industry Co., Ltd. through its wholly-owned subsidiary Anhui Jinxing titanium dioxide (Group) Co., Ltd. Cristal announced that it would acquire the titanium dioxide business of Jiangxi Tianguang Chemical Co., Ltd. The acquisition was completed in January 2015. By June 2015, Henan Bailian announced the acquisition of Sichuan longmang group by 9 billion yuan. After the strong combination of the two, the production capacity will reach 630000 tons, becoming the fourth largest titanium dioxide enterprise in the world, next only to DuPont 1170000 tons, Huntsman 902000 tons and Coste 778000 tons, occupying the absolute leading position in the domestic industry. For China's titanium dioxide industry, which is currently in a low ebb, merger and reorganization has become "the bull nose that affects the adjustment and development of the industry".

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titanium dioxide production capacity concentration in the world is very high. The top seven Suppliers account for about 60% of the global total production capacity. There are about 70 titanium dioxide production enterprises in China, accounting for about 35% of the global total production capacity. It is understood that China's low-end production capacity is seriously surplus, and high-end capacity is insufficient. With the upgrading of environmental protection, the titanium dioxide industry is bound to go through the process of de production capacity just like that in Europe and the United States, which will promote the upgrading of the industry, gradually increase the proportion of chlorination process, and enhance the industry concentration, leading enterprises with voice will gradually appear.

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according to the analysis of industry insiders, in recent years, there will be about five enterprises with output of more than hundreds of thousands of tons in China. If the number is reduced from more than 70 to five, it means that under the background of the overall downturn of the current industry, the vast majority of titanium dioxide enterprises will face the fate of restructuring. As for how to effectively realize the merger and reorganization of the industry and the elimination of backward production capacity, industry insiders believe that it is necessary to take market-oriented reform as the premise, and allow enterprises to choose their own good to improve the efficiency of M & A. Specifically, the government should first clear the market through the invisible hand of the market, and the government should not interfere with the spontaneous adjustment of the industry. Secondly, it is necessary to break the information closure and increase the transparency of policies so that all kinds of enterprises can make decisions and compete more freely. One of the key points in the process of reorganization and integration is to avoid the "matchmaking". The main theme of optimizing the industrial structure of "strong and strong cooperation" has been played, and the "tangled" voice of "small enterprises" choosing to be merged or out of the game is worrying in the main melody.


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Tag: Integration   Titanium   Dioxide   of   "small   The   industry   prospect