Brazil issued a final affirmative antidumping ruling on rutile titanium dioxide (titanium white) originating from China, deciding to impose antidumping duties ranging from $1,148.72 to $1,267.74 per ton on the involved Chinese products for the next five years

On October 28, Brazil issued a final affirmative antidumping ruling on rutile titanium dioxide (titanium white) originating from China, deciding to impose antidumping duties ranging from $1,148.72 to $1,267.74 per ton on the involved Chinese products for the next five years.

Brazil's imposition of high antidumping duties on Chinese titanium white may seem like holding a "protective umbrella" over its domestic industry, but in reality, it is a "protectionist battle" based on miscalculations.

These duties of over a thousand dollars per ton may appear to target Chinese companies, but in the end, it is Brazil's own downstream manufacturers and ordinary consumers who will bear the cost. Such trade protectionism, focused solely on short-term gains while ignoring long-term consequences, is ultimately a short-sighted act of "self-inflicted harm."

First, it’s important to understand just how essential titanium white is and why Chinese products have been so popular in Brazil. Titanium white is no ordinary pigment—it’s indispensable in industries like coatings, plastics, and paper.

China is the world's largest producer of titanium white, and its stable position in the international market is not due to "malicious low pricing" but rather tangible economies of scale and cost advantages.

Mature domestic sulfuric acid-based production processes have driven down costs, and coupled with a complete industrial chain, Chinese companies can naturally offer more competitive prices.

The fundamental reason Brazil had been importing large quantities of Chinese titanium white was cost-effectiveness. Local Brazilian producers either faced high costs or insufficient capacity. With Chinese products available, downstream paint and plastic factories could save significantly on raw material costs, ultimately making household appliances and paint for home renovations more affordable for ordinary consumers.

However, Brazilian titanium white producers grew uneasy. Seeing Chinese products capture market share, they cried "dumping" and pressured regulators to take action.

Just how severe are these antidumping duties? Starting at $1,148 per ton, they represent an increase of over 50% on the average export price of Chinese titanium white, which is around $2,000 per ton.

As a result, Chinese products have lost their price advantage, effectively pushing Chinese companies out of the Brazilian market. Brazilian domestic companies may seize this opportunity to raise prices, but this "good fortune" won’t last long, as downstream industries will soon be strained.

Industries like coatings and plastics already operate on thin profit margins. A sharp increase in raw material costs will either force them to absorb losses or pass the price hikes onto consumers. Either way, Brazil’s real economy will suffer.

What’s more ironic is that Brazil’s move is fundamentally untenable and reeks of "excuse-making." Although China exports large volumes of titanium white, it still relies on imports for high-end products.

In September 2025, over half of Brazil’s titanium white imports were more advanced chloride-process products, mainly from industrial powerhouses like the United States and Japan. This demonstrates that the affordability of Chinese products in Brazil stems from normal cost advantages in the mid-to-low-end market segments, not "malicious dumping."

Moreover, Brazil’s approach to antidumping investigations seems all too familiar. When imposing duties on Chinese cold-rolled stainless steel sheets, Brazil used India as a "surrogate country" to calculate costs, artificially creating a so-called "dumping margin." It’s highly likely that a similarly unfair method was used in the titanium white investigation.

What’s even more perplexing is the "two-faced" nature of Sino-Brazilian trade: Brazil profits handsomely from exporting agricultural and mineral products to China, yet turns around and imposes restrictions on Chinese industrial goods. This logic of "I can profit from you, but you can’t profit from me" is hardly in line with the principles of fair trade.

Chinese companies, however, were already prepared. With the Brazilian market closing off, they have pivoted to deepen their presence in regions like Southeast Asia and the Middle East, where trade restrictions are absent. In September 2025, China’s titanium white exports to Vietnam and Egypt continued to grow.

Furthermore, domestic Chinese companies are accelerating their technological upgrades. The export growth rate of chloride-process titanium white has already surpassed that of traditional sulfuric acid-process products. Once high-end production capacity is fully established, even if Brazil wants Chinese products back, it may have to depend on the willingness of Chinese companies to supply.

Meanwhile, shielded by tariff barriers, Brazilian domestic companies will face reduced pressure from external competition, losing the incentive to upgrade technology and reduce costs. In the end, they risk becoming "hot-house flowers," inevitably unable to withstand international competition.

Ultimately, Brazil's current anti-dumping measures may seem like a short-term gain, but they risk losing out in the long run. The logic of global trade has always been about mutual exchange and mutual benefit. Protecting oneself by blocking others from entering the market will inevitably lead to being left behind.

Over the next five years, it will be Brazil’s downstream industries and consumers who are likely to pay the price for this short-sighted protectionist policy.