Tronox's Fuzhou Closure: A Leaner and More Resilient Global Cost Structure?

Tronox Holdings plans to permanently close its Fuzhou, China TiO2 plant, taking an estimated $60-$80 million in restructuring charges and affecting 550 employees. The closure is driven by weak Chinese demand, higher sulfur costs, and industry overcapacity. Despite this, Tronox expects its diversified global footprint to maintain customer supply while targeting annual cost savings of more than $15 million. The closure crystallizes sizeable restructuring charges and underscores the company's efforts to rein in losses.