Roskill Information Services: Global Supply of Titanium is Forecast to Increase
By Roskill Information Services, PRNEMonday, October 18, 2010
Titanium Metal: Market Outlook to 2015 (5th edition, 2010)
LONDON, October 19, 2010 - Global supply of titanium is forecast to increase by 20% in 2010 to
around 150,000t following a break in the strong growth cycle from 2005 to
2008 when titanium sponge production increased from 104,000t to 176,000t. The
growth from 2005, which saw large volumes of new and rehabilitated sponge
production come on stream, was partly driven by a surge in demand from the
aerospace sector, but also by growing demand for titanium in chemical plant
in China. Chinese output of titanium sponge increased fivefold between 2005
and 2008.
In late 2008, the global economic slowdown and delays in the production
of high-titanium content aircraft such as the A380 and B787 caused a sharp
decline in titanium demand. At the same time, new sponge plants in the USA
and Japan, initiated in the earlier boom years, were coming on stream. In
both 2009 and 2010, titanium sponge capacity was surplus to demand and
producers delayed further expansions, idled plants and (in China) closed
smaller uneconomic plants. In 2010, China has been the main engine for growth
and production in that country is again growing strongly with several new
large-scale sponge plants under construction.
The easing of world supply of titanium sponge has resulted in sponge
prices dropping steadily since 2006 and the market is likely to be overhung
with surplus sponge capacity until at least 2012 or 2013.
In 2009, production of titanium sponge was confined to six countries, in
order of output, China, Japan, Russia, Kazakhstan, USA and Ukraine. Many of
the larger sponge producers have downstream operations producing titanium
ingot and mill products, but others have played an important role as merchant
supplies of sponge. In 2010, UTMK in Kazakhstan, one of the leading merchant
suppliers of sponge, started melting ingot on a trial basis and has entered
into an agreement with Posco to set up a titanium slab plant in eastern
Kazakhstan. This could have a significant impact on the dynamics of global
sponge supply.
There are now 18 companies producing titanium sponge, of which nine are
in China, compared with just two plants a decade ago. Many companies have
announced further expansion plans, although some are now on hold. If all
expansions come on stream capacity could reach 400,000tpy by 2015. The four
new projects in China, together with expansions in Japan and Russia, could
add 85,000tpy to the total.
In 2010, titanium ingot melting capacity is nominally 340,000t, 85% of
which is located in Russia, USA, Japan and China. Melting capacity is at
least twice that of sponge output, due in part to the practice of double and
triple melting, and in part to the use of scrap in the melt feedstock. The
USA dominates the production of mill products for the aerospace industry
while producers in Japan and China focus on industrial and consumer
applications for titanium.
The global market for titanium mill products in 2009 was about 100kt
compared with 130kt in 2008. On a global basis, demand for mill products is
divided between aerospace (39%), industrial (48%) and consumer (13%) uses,
but there are significant regional variations. In the USA the aerospace
industry accounts for more than 70% of demand while in China industrial
applications dominate. The rapid growth of industrial markets for titanium in
China has shifted the balance away from aerospace, but demand for the higher
grades of sponge and ingot is still heavily influenced by the cyclical nature
of the aerospace industry.
Demand is forecast to grow at 6%py to 2015, resulting in a market for
140,000t of mill products requiring up to 200,000t of sponge. Industrial
markets outside the USA and North America will grow at about 9%py and the
commercial aerospace market in North America and Europe will grow at around
8%py, albeit from a low base in 2009, provided that the delayed development
of the A380, B787 and A350 gathers momentum and the build rates of the B737
rise. The growth in demand from the aerospace sector will come partly from
increased aircraft production, but the main driver is the increased buy-in
weight of titanium per aircraft. The greater use of composites, more
compatible with titanium than aluminium, has resulted in significant
increases in the use of titanium in landing gear, ducting, wing carry through
structures and weight-critical forgings.
The main industrial applications for titanium are in
chemical/petrochemical plant and in heat exchangers; this sector has
exhibited very strong growth over the last five years, almost entirely due to
the rapid expansion in construction of chemical and power plants in China.
The market for sponge, unwrought metal and mill products is characterised
by long-term supply agreements between major producers and consumers, without
the involvement of traders. However, the shortage of sponge in 2006 led to
more activity on the spot market and prices for sponge, which had
historically hovered around US$7/kg, rose to US$30 by the end of that year.
As more sponge capacity came on stream the market started to weaken and by
2010 sponge prices were generally below US$10/kg. Prices of ingot and mill
products were also well below the peaks reached in 2006/7. Scrap prices, on
the other hand, strengthened in 2010 as supplies had dwindled in 2009 as
manufacturing declined. Prices for sponge are not likely to move
significantly above US10/kg until 2014 when the surplus capacity should be
absorbed.
Titanium Metal: Market Outlook to 2015 (5th edition, 2010) is available
at GBP4200 / US$7000 / EUR5600 from Roskill Information Services Ltd, 27a
Leopold Road, London SW19 7BB, England. Tel: +44-20-8944-0066.
Fax +44-20-8947-9568 Email: info@roskill.co.uk Web:
www.roskill.com/titanium-metal
Note to editors
The report contains 337 pages, 134 tables and 84 figures. It provides a
detailed review of the industry, with subsections on the activities of the
leading producing companies. It also analyses consumption, trade and prices.
For further information or a review copy of this report, please contact
Mark Seddon (mark@roskill.co.uk). To receive press releases via email, please
contact Prakash Ramachandran (prakash@roskill.co.uk).
Table of Contents
Page
1 Summary 1
2 History, occurrence, and resources of titanium 7
2.1 History of the discovery of titanium metal 7
2.2 Properties of titanium metal 7
2.2.1 Crystallography of titanium metal 9
2.3 Mineralogy and occurrence of titanium 10
2.3.1 Mineralogy of titanium 10
2.4 Occurrence 11
3 Mining, processing and refining of titanium metal 12
3.1 Mining and concentration 12
3.2 Upgrading of ilmenite to titanium mineral and metal
feedstocks 13
3.2.1 Production of titanium slag 14
3.2.2 Production of synthetic rutile 14
3.2.2.1 The Becher process 14
3.2.2.2 The Benilite process 16
3.2.3 Composition of synthetic rutile 16
3.3 Natural rutile 17
3.4 Processing of rutile and titanium slag to titanium metal 17
3.4.1 Production of titanium sponge 19
3.4.1.1 Grades of titanium sponge 19
3.4.1.2 The Kroll process 20
3.4.1.3 The Hunter process 21
3.4.1.4 Molten salt chlorination 21
3.4.2 New technologies for recovery of titanium metal 22
3.4.2.1 Armstrong/ITP 22
3.4.2.2 FFC Cambridge Process - Metalysis Ltd 24
3.4.2.3 CSIRO - the TiRO(TM) Process 24
3.4.2.4 Japan Titanium Society - EMR/MSE Process 25
3.4.2.5 Peruke (Pty) Ltd 25
3.4.2.6 Materials & Electrochemical Research (MER) 25
3.4.2.7 Norsk Titanium 25
3.5 Processing of titanium sponge 26
3.5.1 The double and triple vacuum arc remelting processes 26
3.5.2 Cold hearth melting processes 27
3.5.3 Induction Skull Melting 29
3.5.4 Grades of commercially pure (CP) titanium metal 30
3.5.5 Melting techniques used by principal companies 31
3.6 Manufacture of titanium mill products and forgings 32
3.7 Titanium powder metallurgy (PM) 34
3.7.1 Powder manufacturing processes 35
3.7.1.1 Hydride-dehydride process 36
3.7.1.2 Plasma Rotating Electrode process 36
3.7.1.3 Gas Atomisation process 36
3.7.1.4 Research into new processes 36
3.8 Production of ferrotitanium 37
3.9 Generation of titanium scrap 38
3.1 Titanium metal production costs 39
3.10.1 Titanium sponge production costs 40
4 World supply of titanium minerals and metal 42
4.1 Supply of titanium minerals 42
4.1.1 Companies producing titanium slag, rutile and synthetic
rutile 46
4.2 Supply of titanium sponge 47
4.2.1 Companies producing titanium sponge 50
4.3 Supply of titanium scrap 52
4.4 Supply of titanium melted products 54
4.4.1 Companies producing melted titanium products 55
4.5 Supply of titanium mill products 57
4.6 Supply of titanium powder 59
4.7 Supply of ferrotitanium 59
5 Future supply of titanium products 61
5.1 Future supply of titanium sponge and forecast to 2015 61
5.2 Future supply of titanium scrap 64
5.3 Future expansion of titanium melting capacity 64
5.4 Future supply of titanium mill products 64
6 Notes on the production and use of titanium by country 65
6.1 Armenia 65
6.2 Australia 65
6.2.1 Producers of rutile and synthetic rutile in Australia 66
6.2.1.1 Iluka Resources Ltd 66
6.2.1.2 Consolidated Rutile 67
6.2.1.3 Tiwest Joint Venture 67
6.2.1.4 Bemax Resources 67
6.3 Austria 67
6.4 Belgium 69
6.5 Brazil 70
6.6 Canada 70
6.7 China 72
6.7.1 Production of titanium minerals 73
6.7.2 Producers of titanium sponge 74
6.7.2.1 Zunyi Titanium Stock Co 76
6.7.2.2 BaoTi Huashen Titanium Industry 76
6.7.2.3 Chaoyang Hundred Sheng Company 77
6.7.2.4 Tangshan Tianhe Titanium Industry 77
6.7.2.5 Chaoyang Jinda 77
6.7.2.6 Fushun Titanium 77
6.7.2.7 Shuangrui Wanji Titanium Company 77
6.7.2.8 Jinzhou Huatai Metals 78
6.7.2.9 Zhongxin (CITIC) Jinzhou Ferroalloys 78
6.7.3 New titanium sponge projects 78
6.7.3.1 Aricom/Chinalco 78
6.7.3.2 Pangang Group 78
6.7.3.3 Jinchuan Group 79
6.7.3.4 Yunnan Metallurgical Group (CYMG) 79
6.7.4 Producers of titanium ingot and mill products 79
6.7.4.2 Shanghai Baogang Group 82
6.7.4.3 Tianjin Yinze Metal Sheet Plant 82
6.7.4.4 Northwest Institute for Nonferrous Metal Research 82
6.7.4.5 Beijing Zhongbei Titanium 83
6.7.4.6 Cixi Wuhuan Titanium 83
6.7.4.7 Baimtec Material 84
6.7.4.8 Baoshan Iron and Steel Holding Special Steel Division 84
6.7.4.9 Baoji Lixing Titanium 84
6.7.4.10 Baoji First Titanium 84
6.7.4.11 Valinox 85
6.7.4.12 Donggang Dongfang Hi-Tech Company 85
6.7.4.13 Pangang Group (Pansteel) 85
6.7.4.14 Other companies 85
6.7.5 Producers of ferrotitanium 86
6.8 Czech Republic 87
6.9 Finland 88
6.1 France 88
6.10.1 Timet Savoie 89
6.10.2 Valtimet SA 90
6.10.3 Spécitubes 90
6.10.4 Aubert&Duval 90
6.10.5 Cefival 90
6.10.6 Other companies 91
6.11 Germany 91
6.11.1 ThyssenKrupp Titanium GmbH 92
6.11.2 Other companies 93
6.12 India 95
6.12.1 Titanium sponge projects 95
6.12.2 Production of titanium ingot and mill products 96
6.12.2.1 Mishra Dhatu Nigam (Midhani) 96
6.12.2.2 Other companies 96
6.12.3 Producers of ferrotitanium 97
6.13 Italy 97
6.13.1 Tifast 98
6.13.2 TitaniumKrupp Titanium 98
6.13.3 Loterios SpA 99
6.14 Japan 99
6.14.1 Titanium sponge and ingot 101
6.14.1.1 Osaka Titanium Technologies 101
6.14.1.2 Toho Titanium Co Ltd 102
6.14.1.3 Kobe Steel 103
6.14.1.4 Other companies 104
6.15 Kazakhstan 104
6.15.1 Ust-Kamenogorsk Titanium and Magnesium Plant (UKTMP) 105
6.16 Kenya 106
6.17 South Korea 107
6.18 The Netherlands 107
6.19 Norway 108
6.2 Russia 109
6.20.1 Titanium minerals 110
6.20.2 Producers of titanium 111
6.20.2.1 VSMPO Avisma 111
6.20.2.2 Solikamsk Magnesium 114
6.20.2.3 Other ingot and mill product producers 115
6.20.3 Producers of ferrotitanium 116
6.20.3.1 VSMPO Avisma 116
6.20.3.2 Kluchevsky Ferro-Alloy Plant 117
6.21 South Africa 117
6.22 Spain 117
6.23 Sweden 118
6.24 Taiwan 119
6.25 Ukraine 120
6.25.1 Titanium concentrates 121
6.25.2 Titanium sponge 122
6.25.2.1 Zaporozhye Titanium & Magnesium Combine (ZTMK) 122
6.25.2.2 Titanium ingot and mill products 123
6.26 UK 123
6.26.1 Producers and processors of titanium metal 125
6.26.1.1 Timet UK 125
6.26.1.2 ATI Titanium International 126
6.26.1.3 Other titanium processors and fabricators 127
6.26.2 Producers of ferrotitanium 128
6.26.2.1 London & Scandinavian Metallurgical Co Ltd 128
6.26.2.2 Metals & Alloys Titanium Products 128
6.26.2.3 Other companies 128
6.27 USA 129
6.27.1 Titanium minerals 129
6.27.2 Titanium sponge 130
6.27.3 Titanium scrap 131
6.27.4 Unwrought titanium products 132
6.27.5 Titanium mill products and articles 133
6.27.6 Producers of titanium metal and products 135
6.27.6.1 Titanium Metals Corporation (Timet) 136
6.27.6.2 Allegheny Technologies Inc 138
6.27.6.3 RTI International Metals Inc 140
6.27.6.4 Alcoa Howmet 141
6.27.6.5 Honeywell Electronic Materials 142
6.27.6.6 Perryman Co 143
6.27.7 Fabricators of titanium 143
6.27.7.1 Dynamet Incorporated 143
6.27.7.2 Ladish Co Inc 143
6.27.7.3 Precision Castparts Corp 144
6.27.7.4 Titanium Industries 145
6.27.7.5 Other titanium producers and fabricators 145
6.27.8 Scrap processors and suppliers 148
6.27.9 Ferrotitanium 149
7 Consumption of titanium metal 150
7.1 Consumption of titanium mill products 150
7.2 Consumption of titanium metal by use 152
7.2.1 USA 154
7.2.2 EU 155
7.2.3 Japan 156
7.2.4 China 158
7.2.5 FSU 159
7.2.6 Other 159
8 Forms and fabrication of titanium metal 160
8.1 Commercially pure (CP) titanium 162
8.2 Titanium alloys 163
8.2.1 Alpha-beta alloys 167
8.2.2 Alpha class alloys 169
8.2.3 Beta class alloys 169
8.2.4 Shape memory alloys 171
8.2.5 Specialised titanium alloys and composites 173
8.2.5.1 Titanium aluminides 173
8.2.5.2 Niobium-titanium alloys 174
8.2.5.3 Titanium nitride, carbide, and carbonitride 175
8.2.5.4 Reinforced alloys and intermetallics - metal matrix
composites 176
8.2.5.5 Titanium in honeycomb structures 176
8.2.5.6 Porous titanium 177
8.3 Fabrication of titanium metal and alloy products 177
8.3.1 Casting 178
8.3.2 Hot isostatic pressing 179
8.3.3 Superplastic forming 179
8.3.4 Diffusion bonding 181
8.3.5 Powder metallurgy 181
8.3.6 Flowforming 184
8.3.7 Selective laser sintering/hot isostatic pressing 185
8.3.8 Rapid solidification processing 185
8.3.9 Dispersoid strengthening 186
8.3.10 Brazing 186
8.3.11 Surface hardening 186
8.3.12 Heated roll rolling 186
9 Uses of titanium metal 188
9.1 Use of titanium metal in aerospace 188
9.1.1 Trends in titanium consumption in aircraft 190
9.1.2 Aero engines 194
9.1.3 Airframes 195
9.1.3.1 Military airframes 198
9.1.4 Alternative materials 198
9.1.5 Structure of the aerospace industry 199
9.1.5.1 Airframe companies 200
9.1.5.2 Aero engine companies 202
9.1.5.3 Helicopter companies 204
9.1.6 Historic trends in the commercial aerospace industry 204
9.1.6.1 Large passenger and regional jet aircraft 205
9.1.6.2 Aero Engines 209
9.1.6.3 Cargo airliners 210
9.1.6.4 General aviation 210
9.1.7 Military procurement plans 211
9.1.7.1 Fighters and transporters 211
9.1.8 Titanium in space flight 212
9.2 Use of titanium metal in industrial applications 213
9.2.1 Use of titanium metal in heat exchangers 214
9.2.2 Use of titanium metal in chemical and petrochemical
process equipment 216
9.2.2.1 Chemical and food processing 219
9.2.2.2 Cathodic protection and electrochemical applications 220
9.2.2.3 Chloralkali processing 221
9.2.3 Use of titanium metal in power generation and transmission 222
9.2.3.1 Condenser tubes 223
9.2.3.2 Flue gas desulphurisation (FGD) 223
9.2.3.3 Steam turbine blades 224
9.2.3.4 Nuclear power stations 225
9.2.3.5 Nuclear fuel and waste containers 226
9.2.3.6 Other power generation uses 227
9.2.4 Use of titanium metal in the oil and gas industry 227
9.2.5 Use of titanium metal in metal recovery and
electrorefining 230
9.2.6 Use of titanium metal in geothermal energy 231
9.2.7 Use of titanium metal in non-military marine applications 232
9.2.8 Use of titanium metal in water desalination 233
9.2.9 Use of titanium metal in building and construction 235
9.2.10 Use of titanium metal in tool and machinery coatings 237
9.2.11 Use of titanium metal in automotive applications 238
9.2.11.1 Exhaust systems 240
9.2.11.2 Suspension springs 241
9.2.11.3 Valves and valve springs 242
9.2.11.4 Brake pads 242
9.2.11.5 Other parts 242
9.2.11.6 Concept cars 243
9.2.11.7 Racing and high speed cars 243
9.2.12 Use of titanium metal in other industrial uses 244
9.3 Use of titanium metal in non-aerospace military
applications 244
9.3.1 Armour 244
9.3.2 Field guns and small arms 246
9.3.3 Naval applications 246
9.4 Use of titanium metal in consumer applications 247
9.4.1 Golf clubs 248
9.4.2 Bicycles 249
9.4.3 Other sports equipment 249
9.4.4 Non-sport consumer applications 250
9.4.4.1 Spectacles, sunglasses and jewellery 250
9.4.4.2 Watches, cameras, binoculars and accessories 251
9.4.4.3 Art and art materials 251
9.4.4.4 Kitchenware 252
9.4.4.5 Other uses 252
9.5 Use of titanium metal in medicine 253
9.5.1 Hip and knee prostheses 254
9.5.2 Spinal implants and cages 254
9.5.3 Heart components 255
9.5.4 Wheelchairs 255
9.5.5 Dentistry 256
9.5.6 Other uses 257
9.6 Use of titanium in high technology applications 257
9.6.1 Sputtering targets 257
9.6.2 Superconductivity 258
9.6.2.1 Nuclear magnetic resonance 259
9.6.2.2 Particle accelerators 259
9.6.2.3 Electricity storage and transmission 259
9.6.2.4 Magnetic levitation and propulsion systems 260
9.6.2.5 Industrial cyclotrons and synchrotrons 260
9.6.2.6 High-intensity magnetic separators 260
9.6.2.7 Motors and generators 260
9.6.3 Computers 260
9.6.4 Optical systems 261
9.7 Other end uses for titanium-based alloys and compounds 261
9.8 Use of titanium in steels, superalloys and other minor
alloys 262
9.8.1 Carbon steel 264
9.8.1.1 Markets for carbon steels 265
9.8.2 Stainless steels 267
9.8.2.1 Production and consumption of stainless steel 268
9.8.3 Tool, die and valve steel 270
9.8.4 Superalloys 273
9.8.5 Alloys other than steel and superalloys 275
10 Analysis of international trade data for titanium metal 277
10.1 Trade in unwrought titanium 278
10.1.1 Exports 278
10.1.2 Imports 282
10.2 Trade in titanium mill products and articles 284
10.2.1 Exports 284
10.2.2 Imports 288
10.3 Trade in titanium waste and scrap 291
10.3.1 Exports 291
10.3.2 Imports 294
10.4 Trade in ferrotitanium 297
10.4.1 Exports 297
10.4.2 Imports 300
11 Titanium marketing and prices 303
11.1 Titanium sponge prices 303
11.1.1 Historical perspective 1941 to 2010 303
11.1.2 European and US free market price quotations 1989 to 2007 306
11.1.3 Value of US sponge imports 2004 to 2010 307
11.1.4 Titanium sponge prices in China 2006 to 2010 309
11.2 Titanium scrap prices 310
11.3 Titanium melted and mill products prices 313
11.3.1 Melted product 313
11.3.2 Mill products 315
11.4 Ferrotitanium prices 318
11.5 Outlook for titanium prices to 2015 323
12 Outlook for titanium metal demand by application to 2015 326
12.1 Outlook for titanium demand in aerospace 329
12.2 Outlook for titanium demand in industrial applications 333
12.3 Outlook for titanium demand in non-aerospace military
applications 334
12.4 Outlook for titanium demand in consumer applications 334
12.5 Outlook for titanium demand in medical applications 335
12.6 Outlook for titanium demand in steels and superalloys 335
13 Supply and demand of titanium sponge to 2015 337
For further information or a review copy of this report, please contact Mark Seddon (mark at roskill.co.uk). To receive press releases via email, please contact Prakash Ramachandran (prakash at roskill.co.uk).
Tags: London, October 19, Roskill Information Services, United Kingdom
