Overview of China's Coatings and Pigments Industry

Development from January to June 2026

ments Industry from January to June 2026

Abstract Overview of  the Development of China's Coatings and Pig

I. Overview of Industry Economic Performance

From January to June 2026, the coatings industry operated steadily overall. Affected by the continued downturn in the real estate sector, demand for architectural and decorative coatings contracted, while market demand for industrial protective coatings saw a slight increase. National total production reached 16.14 million tons, down 3.2% year-on-year, with growth slowing by 1.57 percentage points compared to the previous quarter. Total main business revenue amounted to 176.6 billion yuan, down 0.07% year-on-year, but with growth accelerating by 1.58 percentage points from the prior quarter. Profit totaled 12.2 billion yuan, down 13.2% year-on-year, with growth decelerating by 6.59 percentage points compared to the previous quarter.

From January to June, the cumulative production of titanium dioxide reached 2.5 million tons, a year-on-year increase of 33.15%, with an absolute production rise of approximately 622,400 tons. In June,the industry's operating rate was 81%, down 4 percentage points from the previous month. Regarding product prices, since the surge in sulfur prices triggered by international geopolitical conflicts at the end of February, the price of sulfate-process rutile titanium dioxide generally rose to 16,500-16,900 yuan per ton by the end of May, then slightly declined to around 16,000 yuan per ton in June. A modest further decline is expected in the second half of the year.

From January to June, the production of iron oxide pigments was approximately 350,000 tons, showing a slight increase compared to the same period last year. For red iron oxide products, the market price in June ranged around 6,000-6,500 yuan per ton, remaining generally stable. However, due to significant increases in raw material prices-such as sulfuric acid, alkali, iron sheet, and ferrous sulfate-manufacturers are facing substantial cost pressures. It is expected that prices will rise by about 300-500 yuan per ton in the second half of the year.

II. Overview of Import and Export in the Coatings and Inorganic Pigments Sector

1. Overview of Coatings and Inorganic Pigments Exports from January to June 2026

From January to June 2026, paint exports continued to grow at a high rate, with export volume increasing by 64,600 tons compared to the same period in 2025, representing a year-on-year growth of 35.24%. Export value rose by $154 million compared to the previous year, achieving a 27.01% increase.

In the titanium dioxide sector, export volume increased by 152,000tons compared to the same period in 2025, representing a year-on-year growth rate of 16.56%, while export value rose by $318 million,up 16.98% year-on-year. Among these, chloride-process titanium dioxide exports reached 260,800 tons, a year-on-year increase of 47.12%. In terms of export destinations, rapid growth was observed in Asia-Pacific countries including India, Indonesia, Malaysia, Russia, and Japan, with year-on-year increases of 52.03%, 41.95%, 51.56%, 32.37%, and 52.78% respectively. Meanwhile, European countries such as Italy, the UK, the Netherlands, and France saw a swift recovery in exports, growing by 46.2%, 48.12%, 59.89%, and 380.81% year-on-year respectively.

In the iron oxide pigment sector, export volume increased by 11,900 tons compared to the same period in 2025, representing a year-on-year growth of 7.63%. Export value rose by $12 million compared to the same period in 2025, up 8.15% year-on-year. In terms of export distribution, exports to Russia, India, and Indonesia saw significant growth, while exports to Vietnam and Japan declined. Exports to Europe remained generally stable with slight increases. The United States, the industry's primary export destination, recorded a year-on-year export growth of 0.73%.

2. Summary of Paint and Inorganic Pigment Imports from January to June 2026

From January to June 2026, the total import volume of coatings reached 72,400 tons, a year-on-year decrease of 0.17%, while import value maintained steady growth, increasing by 14.69% compared to the same period last year.

In the titanium dioxide sector, imports have continued to decline, with total imports from January to June reaching 31,900 tons, a decrease of 100 tons compared to the same period last year.

Iron oxide-based pigments continued to show slight growth in imports from January to June, with main products being low-cost items such as iron oxide powder and crude iron oxide pigments.

Ill. Industry Trends in the Second Half of the Year

In the second half of the year, the coatings and pigments industry will continue to exhibit a divergent trend. The market structure will evolve toward two extremes: one being medium-to-large enterprises with system integration capabilities, and the other comprising small and medium-sized enterprises deeply focused on niche markets and pursuing specialized, refined, distinctive, and innovative development paths. The industrial landscape will accelerate its reshaping, with companies deeply integrated into supply chains of key and emerging industries gaining significantly enhanced competitive advantages.Market players mastering core technologies and pioneering new sectors are expected to achieve rapid growth. Meanwhile, China's comprehensive strengths within the global supply chain will further consolidate and improve.

China Coatings Industry Association