Strategy Of Panzhihua Titanium Industry

To be an important strategic resource, titanium and its alloys have manyadvantages such as low density, high strength, high temperature, low temperatureresistance, corrosion resistance and non-toxic properties, which can be widely used inmilitary, aerospace, aviation, marine and national production. In addition, the titaniumoxide (TiO2), namely, titanium dioxide is an important fine chemical raw material,whose production and consumption is also a measure of the level of a national industryand people’s living standards.Although titanium has the so many unique applications in a lot of areas and itspotential demand is increasing, the market competence of Chinese enterprises isdecreasing due to the adjustment of macro industry policy especially with the industrialrestructuring and the abolition of export tax rebate policy and fierce competition amongfirms. Domestic titanium dioxide manufacturing enterprises are faced with manyproblems. Compared to the international advanced firms, firms in China have manydisadvantages such as small scale, low level of integrated utilization, low market share,high cost, heavy pollution, and ineffective corporation governance.The main purpose of this thesis is to explore the developing strategy of titaniumindustry in Panzhihua, the richest store of titanium mine in China In particular thisthesis focuses on how to utilize the abundant mineral and push the sustainabledevelopment of titanium industry in this area. This thesis suggests we should firstconsider economic and social benefit simultaneously through optimizing the productionprocess and using more advanced technology. To increase the competence of our firms,we should adopt cluster-based strategy. The implements of this strategy includeintegrating small firms, cultivating few core large firms, and even attracting outadvanced enterprises.