Recently, Henan Billions
Chemicals Co., Ltd. (Henan Billions) signed a memorandum of understanding with
PPG Industries (PPG). Under the terms of this agreement, PPG will license Henan
Billions to use TiO2 chloride process technology in its TiO2 production and
Henan Billions will provide TiO2 to PPG as an exchange. With this license of
TiO2 chloride process technology, Henan Billions will gain superiority in TiO2
market in China
According to the agreement, PPG
will transfer the TiO2 chloride process technology to Henan Billions. In the
meantime, Henan Billions will pay USD1.8 million of the deal to PPG; thereinto,
USD0.68 million will be paid as the first term payment. For the remaining
USD1.12 million, Henan Billions will pay it by selling TiO2 at a favorable
price (USD2,562/t before tax) to PPG. In addition, Henan Billions will sell at
least 30,000 tonnes TiO2 to PPG in the following five years.
After this agreement, Henan
Billions will build a new chloride process TiO2 plant with the capacity of
60,000t/a. According to schedule, the construction of the plant will be
finished at the end of 2013. It can be observed that, Henan Billions will
provide both chloride process TiO2 and sulfate process TiO2 in the future.
Henan Billions gains chloride
process TiO2 technology from PPG mainly because PPG wants to reduce the cost of
TiO2, the material in its coating production.
PPG, as the world's second
largest coating producer (the sales value is USD14.9 billion in 2011), consumes
a large amount of TiO2 every year. Meanwhile, high quality coating need to use
high quality TiO2, especially the TiO2 made by chloride process. However, most
Chinese TiO2 producers only can provide TiO2 made by sulfate process—it is
lower in quality compared with that made by chloride process.
Under the circumstances, the
price of TiO2 made by chloride process is mainly controlled by worldwide TiO2
producers like DuPont. PPG is going to help China 's
TiO2 producer Henan Billions to produce chloride process TiO2 and then make the
TiO2 market in China China China China
It is certainly an opportunity
for Henan Billions to gain TiO2 chloride process technology. Henan Billions,
one of the top three TiO2 producers in China ,
will promote its position and get more competitive in TiO2 market in China
At present, Henan Billions only
provides rutile TiO2 produced by sulfate process in China
The most important thing is that
the chloride process TiO2 has high quality with its better size distribution,
stability, dispersibility and so on compared with that of sulfate process TiO2.
Simultaneously, the chloride process technology will produce less pollution to
the environment in comparison with the sulfate process technology.
With chloride process TiO2, Henan
Billions will gain a good position in chloride process TiO2 market in China because the total capacity of chloride
process TiO2 in China China
Source: TiO2 China
Content of TiO2 China
Henan
Billions gains license of TiO2 chloride process technology from PPG
Yunnan
Xinli debugs chloride process TiO2 devices
Shandong
Dongjia's new cleaner production process certificated by CESS
ISK
announces medium-term plan of TiO2 to gain more competitiveness
Titanium
feedstock import situation meets downtrend in China
Lubei
Group plans to build titanium concentrate ore plant in Sri Lanka
Iluka's
titanium feedstock sales revenue grows in H1 2012
Coating
industry to increase continuously in China
… …
TiO2 China Monthly Report, a monthly publication issued by CCM International on 25th
of every month, will penetrate into Chinese TiO2 market from a global view,
deeply analyse TiO2 industrial chain and manufacturers’ competitiveness and
trace the latest industrial hotspots and dynamics, aiming to provide the most
valuable information about China
About
CCM
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