Titanium Dioxide Market Size, Share & Trends Analysis Report By Grade (Anatase, Rutile), By Production Process (Sulfate, Chloride), By Application (Paints & Coatings, Plastics), By Region, And Segment Forecasts, 2021 - 2028

Report Overview

The global titanium dioxide market size was valued at USD 17.19 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 6.0% from 2021 to 2028. The market growth can be credited to the increasing demand for titanium dioxide (TiO₂) from the end-user industries. The usage of the product as pigments in paints and coatings formulation is expected to fuel the industry growth over the next few years. Developing countries have witnessed a growing demand for lightweight vehicles in the past few years. Furthermore, the automotive industry in developed regions including North America and Western Europe is exhibiting a promising trend owing to recovery from the financial downturn. Progressive growth in the automotive industry, especially in lightweight automobiles, has driven significant consumption of paints and coatings, which, in turn, is anticipated to propel the demand for TiO₂.

The market in the U.S. was mainly driven by the paints and coatings sector in the recent past. The recovery of the construction industry in the U.S. has boosted the growth of the paints and coatings market, exhibiting rising demand for eco-friendly and anti-corrosive architectural coatings. As a result, the usage of the product as pigments in the formulation of advanced paints and coatings has increased over the past few years.

The product is also used as a dispersing agent, flocculent, and whitening agent in the paints and coatings industry. In automotive coatings, the product is used as a dispersive agent with maximum gloss retention and high chalk resistance. The rapid growth of the automotive industry in China, India, and Japan is expected to augment the product demand over the forecast period.

Coatings formulated using TiO₂ have excellent compatibility with polycarbonate, a thermoplastic used as an alternate to glass- and metal-based materials. The rising demand for lightweight vehicles owing to the need for better fuel efficiency has resulted in an increased demand for polycarbonate in the automotive industry, thereby boosting product usage over the past few years.

Nanoparticles of TiO₂ are extensively utilized in Photovoltaic (PV) systems including dye-sensitized solar cells, quantum dot-sensitized solar cells, polymer-inorganic hybrid solar cells, inorganic solid-state solar cells, and perovskite solar cells. The product has a wide scope of application in coatings of PV cells as a photoactive material owing to its efficiency in improving the performance of dye-based cells. Focus on increasing the use of clean energy sources has also fueled the product demand in PV cells application.

Titanium Dioxide Market Trends

Titanium dioxide is widely used in paints & coatings applications. Titanium dioxide combined with other colored pigments is employed in numerous end-use applications, including automotive coatings, aircraft coating, marine coatings, and architecture & decorative coatings. Growing construction activities positively influence the demand for paints & coatings, thereby creating significant demand for titanium dioxide.

The growing urbanization and increasing population are positively growing the infrastructure spending in China, which is expected to fuel the growth of the construction industry over the forecast period. For instance, in January 2019, China announced to invest USD 142.0 billion in 26 infrastructure projects, including rail projects in Zhengzhou, Chongqing, Kunming, Chengdu, and Xian, and the expansion of Xianyang International Airport. In addition, China is also expected to invest 13.0 trillion in construction projects by 2030, according to an article published by the World Resources Institute in 2019. All these steps taken by the Chinese government to boost the construction industry in the county are expected to drive the demand for paints and coatings over the forecast period.

Titanium Dioxide (TiO2) is a generally used pigment across the cosmetics industry since it provides high color context, including higher intensity and brightness, helps absorb oils released from the skin, and provides ultraviolet protection to the skin, making it highly suitable for sun care products. The global cosmetic industry is witnessing significant growth due to rising disposable income, growing middle-class aspirational spending, changing lifestyles, and preference for high-quality products. In addition, the rising demand for skin care products due to increasing awareness regarding inclination toward maintenance of an even skin tone, healthy skin rituals, and efforts taken to look beautiful and young is fueling the demand for skincare products.

The government of Canada is rewarding incentives of USD 2,500 to USD 5,000 for purchasing electric vehicles or plug-in hybrid vehicles. Thus, the growing support toward manufacturing and purchasing electric vehicles in the region is anticipated to offer lucrative opportunities for the titanium dioxide application in automotive paints & coatings and plastics in the coming years.

Although titanium dioxide has broad application scope and is used in numerous end-user applications, the various regulations on the use of the product are expected to restrain the market growth. Dust particles of the product are grouped under 2B carcinogenic by IRAC and have the possibility of being carcinogenic to humans. In manufacturing plants, workers must follow various protective measures, including the use of personal protective equipment and safety data sheets for material handling.

In March 2022, the European Commission banned titanium dioxide (E171) from being used as a food additive. The studies and data submitted by the European Food Safety Authority concluded that titanium dioxide E 171 can lead to the risk of genotoxicity, further leading to carcinogenic effects. The ban can result in a decline in the consumption of titanium dioxide in fine bakery wares, sauce, broths, soups, savory-based sandwich spreads, broths, and salads.

The fluctuating price of raw materials is one of the major challenges for titanium dioxide manufacturers. Robust demand and supply constraints are affecting the price of titanium dioxide raw materials. This further impacts the overall cost of titanium dioxide.

Grade Insights

The rutile segment led the market and accounted for a revenue share of over 75.0% in 2020. This trend is anticipated to continue during the forecast period. Rutile grade TiO₂ is used as a carrier in paint applications for producing white color in plastics and prevents color fading in the paper. The growing construction industry is anticipated to fuel the demand for rutile grade TiO₂ during the forecast period.

The anatase pigment is mainly used in fibers, ceramics, cosmetics, and pharmaceuticals, along with the manufacturing of enamels and welding electrodes. Pure TiO₂ contains almost 80% content of anatase by weight with a smaller portion of rutile, 20%. Increasing demand for TiO₂-based cosmetics is anticipated to propel the demand for anatase TiO₂ during the forecast period.

Production Process Insights

The sulfate production process segment led the market in 2020 accounting for over 50.0% share of the global revenue. The segment is expected to expand at the fastest CAGR from 2021 to 2028. The sulfate process of producing titanium dioxide is highly suitable for manufacturing paints and coatings. The growing automotive industry has propelled the demand for lightweight paints, which, in turn, has fueled the demand for sulfate-based TiO₂.

Advantages of the chloride process include short processing, easy capacity expansion, high automation degree, relatively low energy consumption, low waste production, and production of higher quality products. Hence, manufacturers utilize this process to reduce the processing time and increase the production of TiO₂.

Application Insights

The paints and coatings segment led the market accounting for over 55.0% share of the global revenue in 2020. The segment is anticipated to witness the fastest growth from 2021 to 2028. Significant growth in the construction and automotive sectors, particularly in developing regions, has fueled the product demand in the paints and coatings industry over the past few years.

Superior properties including opacity, whiteness, scattering of light, and high refractive index of TiO₂ have accelerated its usage in paints and coatings formulations. The product is widely used as a key raw material in the production of emulsion paints and anticorrosion, automotive, aircraft, marine, and decorative coatings. Increasing infrastructure investments in developing economies have been a dominant factor driving the demand for architectural and decorative coatings, which, in turn, is expected to have a positive impact on the market growth over the forecast period.

The plastics segment is expected to witness significant growth over the forecast period. TiO₂ improves the mechanical strength and electrical properties of plastic products. Furthermore, it enhances weathering properties of plastics, along with providing protection from UV light and high temperatures.

Plastic production is expected to increase over the forecast period owing to their rising demand in automotive, building materials, and masterbatches. Furthermore, rising environmental concerns have boosted the production of bioplastics over the recent past. This, in turn, is likely to have a positive impact on the product demand over the next few years.

The pulp and paper segment is also one of the key end-users of TiO₂ owing to its usage as a filler in pulp and paper production. The product improves the brightness, opacity, color, porosity, smoothness, gloss, and printability of paper. The product has considerable usage in the production of decorative foils and decor and magazine papers used in various printing applications.

Regional Insights

The Asia Pacific dominated the titanium dioxide market and had the largest revenue share of 41.44% in 2020. This high market share can be attributed to the rising construction activities in India, China, and other Southeast Asian countries that have motivated the demand for paints & coatings in the region, which is expected to augment product demand growth.

The automotive market in the Asia Pacific is growing due to the increasing demand for electric vehicles due to rising fuel prices and environmental pollution concerns associated with gasoline-powered cars. Moreover, the increased investments by automotive manufacturers in the region regarding electric vehicles are expected to grow automobile consumption in the area. Titanium dioxide acts as a dispersive agent in automotive coatings and provides high chalk resistance with maximum gloss retention.

In China, the rising development in the construction sector has resulted in increasing demand for paints and coatings. This is expected to impact the market over the next few years positively. The utilization of TiO2 in China has surpassed the U.S on account of its increasing demand in numerous applications, including plastics, paper & pulp, printing inks, paints & coatings, chemical fibers, and cosmetics.

The proliferated building & construction activities in the North American region is expected to drive the market for titanium dioxide. The high demand for non-residential construction projects such as hospitals, commercial buildings, and colleges has contributed to the growth of the construction industry in North America.

The U.S. healthcare infrastructure comprises multispecialty clinics & hospitals. The high per capita income and consumer awareness related to healthcare have also driven the government to construct more healthcare facilities. The "Affordable Healthcare Act" is also expected to stimulate the construction of a more significant number of health care units and hospitals, which, in turn, is expected to boost the demand for architectural and decorative paints and coatings in the region. This is anticipated to fuel the demand for Titanium Dioxide (TiO2) across the paints & coatings industry during the forecast period.

Key Companies & Market Share Insights

The top five players accounted for more than 50% of the total production volume for titanium dioxide in 2020, thereby rendering the industry a consolidated one. Various companies follow integrated operations and companies such as Kronos Worldwide Inc.; Travancore; and Tronox Limited are involved in the extraction of raw materials as well as titanium dioxide production. Some prominent manufacturers in the global titanium dioxide market include:

• The Chemours Company

• The Tronox Holdings plc

• LB Group

• Venator Materials PLC

• KRONOS Worldwide Inc.

• Evonik Industries AG

• ISHIHARA SANGYO KAISHA, LTD.

• CNNC HUAN YUAN Titanium Dioxide Co., Ltd.

• The Kerala Minerals & Metals Limited

• CATHAY INDUSTRIES

• TOR Minerals International, Inc.

Titanium Dioxide Market Report Scope

Segments Covered in the Report

This report forecasts volume and revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2017 to 2028. Grand View Research has segmented the global titanium dioxide market report by grade, production process, application, and region:

• Grade Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2028)

  • Anatase

  • Rutile

• Production Process Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2028)

  • Sulfate

  • Chloride

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2028)

  • Paints & coatings

  • Plastics

  • Paper & pulp

  • Cosmetics

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2028)

  • North America

    • U.S.

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • China

    • India

    • Sri Lanka

  • Central & South America

    • Brazil

  • Middle East & Africa

    • United Arab Emirates (UAE)