AUSTRALIA TITANIUM DIOXIDE MARKET ANALYSIS

Market Challenges And Opportunities

Drivers

Rising application of titanium dioxide across paints, paper, dyes, and plastic is expected to propel the market growth over the forecast period. Moreover, increasing disposable income of people in the country is expected to raise the demand for consumer product such as personal care, automobiles, and household products. Aforementioned factors are projected to fuel the growth of Australia titanium dioxide market in the near future.

Rising installation of solar panel in the country as titanium dioxide find application in the solar panel is projected to boost the market growth. According to the Solar Feeds, in 2018, 2 million households in Australia installed rooftop solar panels. It means that one in every five households now have solar power to bring down their electricity bills. If this rate of solar installations remains, the country will reach 50% renewable capacity in 2025.

Figure 3. Australia Titanium Dioxide Market- Value Chain Analysis

Market Restraints

The slowdown of the economy in the country is projected to hinder the market growth of Australia titanium dioxide. According to the World Economic Outlook, The International Monetary Fund predicts that Australia's economy will weaken to 1.7 percent growth in 2019, down a full percentage point from 2.7 percent in 2018. Hence, the slowdown of the Australia economy in the recent few years is expected to restrict market growth over the forecast period.

Increasing usage of substitute of titanium dioxide as silica due to its excellent surface passivation property is expected to hinder the market growth of the titanium dioxide. The silica glass is now being increasingly embedded with silicon solar cells which is raising the demand for demand silica due to excellent property over titanium dioxide. This factor is expected to restrain the market growth of the titanium dioxide.

Market Opportunities

Increasing the cosmetic and personal care product industry in Australia is projected to propel the market growth of titanium dioxide. According to the report published by the International Monetary Fund in September 2016, in 2015, Australia’s total personal care and the cosmetics market is estimated at US$ 3.4 billion. Imports satisfy over 70% of the domestic market with the U.S. holding the largest share at 22%.

Increasing adoption of advanced technology for the production of titanium dioxide is expected to foster market growth over the forecast period. For example, traditionally sulfate process was used to extract titanium dioxide from its ores but now it has been gradually replaced by chloride process because this process generates a lesser amount of waste, easy recovery, and also has the possibility of chlorine recycling. Hence, advancements in technology are expected to fuel the market growth.