Titanium dioxide (TiO2) is a naturally occurring compound that is mined, refined and processed into a fine powder. It is known for its exceptional opacity, brightness and high refractive index, making it an ideal ingredient in paint formulations. When added to paint, titanium dioxide scatters and reflects light, creating vibrant, long-lasting colors. It is this unique property that makes titanium dioxide the most widely used white pigment in the coatings industry.

Coronavirus-related shutdowns in the first half of the quarter prompted forcible measures at several small-scale ilmenite factories in China and India, subsequently exacerbating the Titanium supply problem. The chemical's tight supply condition was extended until the end of the quarter, as few participants were heard holding cargoes in expectation of an exceptional surge in its seasonal demand.