Toho Titanium announced on Tuesday the firm signed agreement with Titanium Metals Corporation of USA to supply sponge titanium for 24 years from 2010. They agreed price range and volume for first 15 years. Under the agreement, the price changes to reflect raw materials cost. Toho Titanium, which produces annual 16,000 tonnes of sponge titanium in Kanagawa, can sale 8,000 tonnes for outside buyers. The firm increases the outside sales volume to 21,000-22,000 tonne after expansion of Kanagawa plant to 22,000 tonnes and commissioning of new plant in Fukuoka with 24,000 tonnes of capacity in future. The firm secures several thousands tonnes of stable buyers through the contract with TIMET. Titanium demand expands worldwide especially for airplane. The demand also increases for chemical and power plans along with automobile. With higher demand, the sponge titanium supply is tight. TIMET tries to secure stable supply source through the long term contract.
Japan Steel Scrap Composite Prices (Sangyo Press)
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